FxWirePro: NZD/USD edges lower, remains on back foot

• NZD/USD  edged  lower on Monday   as dollar remained firm despite   weaker-than-expected US jobs data last week.

•US job growth slowed more than ​expected in September, and the nonfarm payrolls count for the prior two ​months was revised sharply lower, data showed on Friday.

•Traders now see an 18% probability of a Fed rate hike in October, while still pricing ​in an 81% chance of an increase in December, according to the CME ​FedWatch Tool.

•Last week’s BoJ meeting summary highlighted growing concerns about inflation exceeding the central bank’s 2% target, strengthening the case for another rate increase this year while leaving the timing of any move unclear.

•On the geopolitical front, Yemen’s Saudi-backed, internationally recognised government said on Sunday it was ​launching a major military ​campaign to recapture ⁠all areas controlled by the Iran-backed Houthis.

•  Immediate resistance is located at 0.5620 (Daily high), any close above will push the pair towards 0.5660(38.2%fib).

•  Support is seen at 0.5583 (23.6%fib) and break below could take the pair towards 0.5560(Lower BB).

 Recommendation: Good to sell around 0.5600  with stop loss of 0.5720 and target price of 0.5530