FxWirePro: NZD/USD Daily Outlook

Chart - Courtesy Trading View 

Spot Analysis:

NZD/USD was trading 0.36% higher on the day at 0.6329 at around 10:00 GMT.

Previous Week's High/ Low: 0.7011/ 0.6855

Previous Session's High/ Low: 0.6346/ 0.6298

Fundamental Overview:

A modest recovery in the risk sentiment weighs on the greenback and benefits the risk-sensitive Kiwi.

Focus now on U.S. data on consumer prices and retail sales later this week which will determine near-term direction. 

Headline and core US consumer prices are expected to rise 0.4% for the month, while sales is likely to rebound by 1.6%.

Technical Analysis:

- NZD/USD hovers around 55-EMA and cloud top

- The pair has formed Doji on the previous week's candle

- Price action has shown some upside momentum on the hourly charts

- GMMA indicator has turned bullish on the hourly charts

Major Support and Resistance Levels:

Support - 0.6323 (55-EMA), Resistance - 0.6367 (200H MA)

Summary: NZD/USD poised to break consolidation. Decisive break above cloud and 55-EMA will add to the upside bias. Scope for test of 21-EMA at 0.6377.