|Day's range||0.592 - 0.596|
|52-week range||0.5479 - 0.6790|
Given the massive fiscal and policy moves by their respective governments and central banks , there is likely to be enough stimulus in the system when the coronavirus pandemic ends, but no officials are able to tell businesses when that will be.
The rout in the financial markets and near-certain global recession caused by the coronavirus pandemic, fueled a run on demand for the highly liquid U.S. Dollar.
Nonfarm payrolls and service sector PMIs are in focus today. With the West in shutdown mode, both labor market numbers and PMIs are expected to be dire…
Early Wednesday, the Reserve Bank of Australia (RBA) said in its emergency meeting minutes that policymakers were worried about the potential for a “very material contraction” in economic activity.
We strongly believe China wants to show some strength in their perceived economic recovery and that these PMI numbers are somewhat “manufactured for effect”.
A busy economic calendar may not be enough to distract the markets. The virus continues to spread at a sharp pace in spite of lockdown measures…
The near-term direction of the NZD/USD will be determined by trader reaction to the 50% level at .5958 and the Fibonacci level at .6074.
PMI numbers out of China impress early. Will a busy economic calendar be enough to distract the markets from the continued spread of COVID-19?
The RBA injected $6.9 billion into the financial system last week and said it would buy $4 billion in government bonds. The Reserve Bank of New Zealand (RBNZ) made its first foray into so-called quantitative easing with the purchase of NZ$250 million of government bonds in the secondary market.
It’s bearish start to the day, with the continued rise in coronavirus cases raising the prospects of a lengthier economic meltdown…
On Friday, the NZD/USD closed in a position to challenge the upper level of the retracement zone at .6074. Given the momentum into the close, we’re likely to take out this level, perhaps triggering an acceleration to the upside.
China’s industrial profits tested risk appetite early on, with stats later today unlikely to have a material impact as the governments battle on.
The BoE and ECB will garner some attention, though expect updates from Capitol Hill and U.S weekly jobless claims figures to steel the show.
Based on the early price action and the current price at .5876, the direction of the NZD/USD the rest of the session on Wednesday is likely to be determined by trader reaction to the steep uptrending Gann angle at .5789.
A sustained move over .5568 will indicate the presence of buyers. If this generates enough upside momentum then look for the rally to possibly extend into the short-term 50% level at .5959, followed by the downtrending Gann angle at .6008.
Market turmoil resumes early in the Asian session as the markets react to the latest coronavirus containment measures and numbers.
Based on the early price action and the current price at .5624, the direction of the NZD/USD the rest of the session on Monday is likely to be determined by trader reaction to the steep downtrending Gann angle at .5648.
While the equity markets have somewhat settled this week, the US dollar is making headlines as the trade-weighted dollar index has reversed sharply higher since last Monday.
Based on the early price action and the current price at .5741, the direction of the NZD/USD the rest of the session on Friday is likely to be determined by trader reaction to the steep downtrending Gann angle at .5728.
Coronavirus news updates and government and central bank action remain the key drivers as the week comes to a close.
It’s another testy day ahead for the markets as the virus spread continues and governments look to take further measures to combat the virus…
The RBA reiterated it stood ready to ease policy further in the face of the ‘unprecedented’ spread of the coronavirus, adding to speculation of aggressive stimulus this week to counter the widening economic fallout of the pandemic.
Economic data will garner some interest today, though much will depend on the news wires. Market sensitivity towards the virus is not going to ease anytime soon.