NZDUSD started this week in demand and bullish traders are collecting gains with ComDolls – a term used for "Commodities Dollars".
A weaker dollar helped currencies like NZD and AUD to become attractive by traders and investors.
Wednesday,the target reached by New Zealand dollar was at 0.8620 (fibonacci 61.8%).
The price needs of a pullback in next curve.
The 4H chart indicates a stronger currency.
Shall we consider one next down curve ?
What was the main resistence zones reached on this day?
Kiwi breaks the first R1 at 0.8590 and the price continued to fly up to 0.8612 which is the 2nd resistance level.
If US durable Goods Orders reports a weak number, so we can expect doviness curve for Comdolls.
Technical Outlook:
Resistance 1: 0.8612
Resistance 2: 0.8590
Pivot 0.8560
Support 1:0.8545
Support 2: 0.8530
Pattern: Bullish engulfing
Stoch: Overbought
Trend: slightly Bullish
US Census Bureau will release Durable Goods Orders which traders are forecasting 1.0% from -1.0%.
Also, dollar will react with Durable Goods Orders ex Transportation and 5-Year Note Auction news.
Particullarly speaking, Kiwi will continue flying up if USD had not a good performance.
It is interesting to see that NZDUSD needs of a corrective curve.
In a few hours the candles can demonstrate exhaustion and potentially a new bearish engulfing are coming up.
All depends of New Zealand Trade Balance today.
Some reports for Wednesday:
NZ Exports
NZ Imports
NZ February Trade Balance (MoM)
NZ February Trade Balance (YoY)
New Zealand RBNZ’s Spencer to Speak on Macro-prudential policy
US Feb. Durable Goods Orders
US Mar. Markit US Composite and Services PMI Surveys
US Fed’s Bullard to Speak
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