The New Zealand Dollar (NZD) inched higher against the US Dollar (USD) on Wednesday, this led to an increase in the price of NZDUSD making the total appear greater than 0.6600. The price of the pair increased after major economic news released. Considering the price movement of the pair over the last few days, it is anticipated that the technical bias may remain bearish because the pair’s price marked a lower low in the recent downside move.
NZD/USD Technical Analysis
As of this writing, the pair is being traded around 0.6666, resistance may be seen around 0.6708, the key horizontal resistance level ahead of 0.6743, the trend line resistance and then 0.6937, the high of March 23, 2019, as demonstrated in the given below chart.
Coming towards the upside, support can be witnessed around 0.6588, the 23.6% Fib level support. Another support may come around 0.6492, the trendline support and then 0.6479, the key horizontal support level as demonstrated in the given chart. The technical bias may remain bearish as long as 0.6826, the major horizontal support remains intact.
USD Nonfarm Payrolls News
In the United States, the figure with respect to the nonfarm payrolls remained 196K in March, as compared to 33K during the month before, up beating the economist expectation which was 180K. The data is copied from the news released by the Department of Labor, United States.
The data represents the number of jobs created in all non-agriculture sector in due course of time. It is to be noted that the monthly variation in the Nonfarm payrolls data can be extremely volatile since it is directly proportional to the economic policy decisions made by the Central Bank. Generally speaking a high reading in this regard is considered as a bullish or upward trend for the US Dollar (USD) whereas low reading indicates a downward trend or bearish market for the US Dollar (USD).
Considering the overall price behavior of the pair over the last couple of days, selling the NZDUSD around current levels can be a good decision in short to medium term.