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– Anne Boniface, Westpac Banking Corp (based on Bloomberg)
Pair's Outlook
The Kiwi skyrocketed against the US Dollar by mid-Wednesday due to two reasons. Firstly, fundamental data incoming from New Zealand showed was a lot stronger than expected by analysts, as the country is becoming more and more economically stronger. Secondly, the Greenback is falling like a brick due to US politics, as the presidential race tightens and many various market participants dump the US Dollar. It is unlikely that such a large move will occur once more, as the rate was stopped by the monthly R1, and the fundamental information has already been taken into account by the markets.
Traders' Sentiment
SWFX traders have decreased their long positions by 19%, as traders are 63% short on Wednesday. That is explained by profit taking. Meanwhile, 56% of trader set up orders are to buy.
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