The New Zealand Dollar (NZD) inched lower against the US Dollar (USD) on Wednesday, this led to a decrease in the price of NZDUSD making the total appear less than 0.6600. The price of the pair decreased 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 higher low in the recent upside move.
NZD/USD Technical Analysis
Currently, the pair is being traded around 0.6558, support can be witnessed around 0.6562, the trendline support. Another support may come around 0.6500, the psychological number and then 0.6422, the major horizontal support level as demonstrated in the given below chart.
Coming towards the upside, resistance may be seen around 0.6620, the key horizontal resistance level ahead of 0.6681, the 38.2% Fib level resistance and then 0.6782, the high of April 15, 2019, as demonstrated in the given above chart. The technical bias may remain bearish as long as 0.6802, 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.