|Day's range||0.65 - 0.655|
|52-week range||0.6426 - 0.7061|
Look for the downtrend to continue at a pace of .001 per day as long as the NZD/USD remains under this level. Crossing to the weak side of the downtrending Gann angle at .6509 will indicate the selling pressure is getting stronger. This could trigger an eventual break into .6465 and .6424.
The RBA talks of rate cuts to pin back the Aussie Dollar as trade war jitters linger. Another quiet day on the stats leaves geopolitical risk in focus.
It’s a mixed start to the day, support for the Aussie Dollar kicked in, while the EUR and the Pound could be under pressure. EU elections loom…
Based on last week’s price action and the prolonged move down in terms of price and time, the direction of the NZD/USD this week is likely to be determined by trader reaction to last week’s low at .6513. Taking out .6513 then recovering last week’s close at .6514 will put the NZD/USD in a position to form a potentially bullish closing price reversal bottom.
Over the short-run, the AUD/USD could get a boost from the election results, but gains are likely to be limited and prices could fall further because of the weakening economy and the expected rate cut.
Asian markets are worried about the increase in anti-American rhetoric in the Chinese media against the background of escalating trade conflicts. However, this hurts Chinese markets, which have re-emerged to decline and are losing more than 1.2%.
A relatively quiet economic calendar leaves Brexit and trade war chatter in focus. Is the trade spat about to get worse and can Theresa May deliver?
The Aussie Dollar touches sub-$0.69 as more stats disappoint. Chatter on trade and a sparse economic calendar will be in focus today.
Last week, RBA Governor Philip Lowe made it clear a further improvement in the labor market was needed to get the economy rolling again toward its full potential.
Economic data out of China set the tone early. How much of an impact has the trade war really had on both economies? Are we about to find out?
Look for further pressure on the AUD/USD if the Wage Price Index comes in below the 0.6% estimate. This would be the first sign of weakness in the labor market this week. The next signs of weakness could come in Thursday’s Employment Change and Unemployment Rate reports.
Based on yesterday’s close at .6574 and the early price action, the direction of the NZD/USD on Wednesday is likely to be determined by trader reaction to the downtrending Gann angle at .6564.
A sense of calm in the forex markets early on as the U.S futures point to a positive open in the equity markets. It could all change in a second…
Last week, RBA Governor Philip Lowe made it clear a further improvement in the labor market was needed to get the economy rolling again toward its full potential. Conditions are expected to worsen by the June employment rate, due to be released in late July, making the first cut an obvious decision for the August meeting.”
It’s risk off early on as the markets respond to the weekend chatter on trade talks and Asia wakes up to yet another week without a deal…
Based on Friday’s price action and the close at .6599, the direction of the NZD/USD on Monday is likely to be determined by trader reaction to the short-term 50% level at .6609.
Bullish Canadian Employment data made the Loonie drop 0.74% within a matter of minutes. The Fiber attempted to breach the robust 1.1252 levels during the day. UK March YoY GDP was in-line at 0.5%.
What we’re expecting to see throughout the session is heightened volatility related to headline news regarding US-China trade policy. The price action will be largely related to ever changing “risk-on” and “risk-off” scenarios as the two economic powerhouses try to hammer out a trade deal.
Tariffs are raised from 10% to 25% on $200bn worth of Chinese goods. Will this influence talks or just leave Beijing with little choice but to respond?
The Loonie topped reaching 1.3500 levels. China stated readiness over trade tariff hikes, supporting the USD/CNY pair. The USD/NZD took a drop and reached 1.5174 levels.
Economic data will likely take a backseat once more, with the U.S and China set to resume trade talks today. Updates from talks will drive the markets today.
The Chinese Monthly Trade data reported positive data despite trade tensions. The Dollar Index remained unchanged by day end. German March Industrial Figures helped the Fiber to get uplifted.
We’re looking at the possibility of a two-sided trade over the next few days as investors adjust positions to the central bank news. Looking down the road, the RBA will likely be forced to cut rates next month. As far as the RBNZ is concerned, another rate cut is likely to remain in play. The next move is likely to be data dependent and could take place in August.