FxWirePro: NZD/USD edges down following sharp fall in consumer confidence

• NZD/USD edged slightly lower on Wednesday  as deterioration in consumer sentiment reinforced concerns about the outlook for New Zealand's economy

• The Westpac consumer confidence index fell to 80.4 in the second quarter from 94.7 previously, marking its weakest reading since 2023 and highlighting ongoing pressure from elevated borrowing costs and subdued household spending.

•Additional domestic data showed New Zealand's current account deficit narrowed to NZ$1.04 billion in the first quarter, while investors are now looking ahead to Thursday's first-quarter GDP figures.

• Economists polled expect the economy to expand by 0.8% quarter-on-quarter and 1.1% annually, which could provide fresh clues on the Reserve Bank of New Zealand's policy path..

• Attention later on Wednesday will also shift to Federal Reserve Chair Kevin Warsh's first public remarks following the latest FOMC meeting, with markets seeking guidance on the outlook for U.S. interest rates.

•  Immediate resistance is located at 0.5861(SMA20), any close above will push the pair towards 0.5925(61.8%fib).

•  Support is seen at 0.5811(50%fib) and break below could take the pair towards 0.5740(Lower BB).

 Recommendation: Good to sell  around 0.5840 with stop loss of 0.5900 and target price of 0.5790