FxWirePro: NZD/USD capped below 0.73 handle, rejected at major trendline resistance
Wednesday, August 24, 2016 4:28 AM UTC
- NZD/USD retracing from three-week highs hit yesterday, in response to RBNZ Governor Wheeler’s hawkish comments.
- Data released earlier today showed New Zealand trade balance data showed that the deficit expanded more than expected.
- Weakness in the oil prices also collaborated to downbeat sentiment around the resource-linked NZD.
- The pair remains capped below the 0.73 handle, trades with a neutral bias.
- Strong support is seen by 10-DMA at 0.7216, break below will see test of 20-DMA at 0.72 levels.
- On the flipside, the pair finds major resistance by trendline at 0.7350, break above needed for upside.