Its been the second consecutive day since the New Zealand Dollar keeps on increasing with a price tag of more than 0.6500. The price increase occurs due to a piece of a favorable key economic release. The technical bias might also remain bullish since the lower high printed by the price during the last downside move may be seen on the graph below.
NZD/USD: Technical Analysis
As of now, the NZDUSD is being quoted for the price figured around 0.6510. The pair is likely to face resistance on multiple levels while moving upside. The first resistance which may come across the price might be the Fibonacci level which stands near 0.6565, ahead of 0.6700, the psychological number and then 0.6790, the high of July 19, 2019, may resist the price keeping it below the said level as shown in the graph below.
Talking about the support side, the price may meet a support level near 0.6426, which is the confluence of a trend line and a major horizontal support level and may act as strong support keeping the price to stay above the quoted level. Then the price may receive support around 0.6353, its a trend line support ahead of 0.6203, the key horizontal support level as shown in the graph above.
NZD Business NZ PMI
From a fundamental point of view, The Business NZ indicator remained 52.6, this month as compared to 48.4, the previous month meeting the economist expectations which was 52.6. The PMI monthly Business NZ represents New Zealand’s business conditions. It is considered an important indicator of the overall country’s economic state. The values above 50 signals suggest a bullish market for the NZD, whereas the negative number indicates a bearish market for the NZD.
Trading the NZDUSD around current levels may be a good decision for both short and long term positions since the technical bias is anticipated to remain bullish.