Kiwi is weak on RBNZ rate cut speculation,good to sell on rallie
NZD/USD is trading weak after release of weaker than expected employment data. The unemployment rate was at 5.8% compared to forecast of 5.5%, and in addition the figure for the preceding quarter was revised to the upside.
The Kiwi has been under some pressure since weaker employment data immediately triggered rate cut speculation. The RBNZ suggested only last week that it might loosen its monetary policy if demand and price pressures weakened.
Technically NZD/USD is trading weak and any short term trend reversal can happen only above 0.7600. On the upside any break above 0.7600 will target 0.7640/0.76645.
The pair’s minor support is around 0.7470 and any break below will drag the pair further down till 0.743/0.7380 (61.8% retracement of 0.71596 and 0.7738).
Indicator (1 Hours chart)
CCI (50) - Sell
CCI (14) – Sell
Ichimoku- Sell
It is good to sell on rallies around 0.7535 for the target of 0.7385 with stop around 0.7600.
The Kiwi has been under some pressure since weaker employment data immediately triggered rate cut speculation. The RBNZ suggested only last week that it might loosen its monetary policy if demand and price pressures weakened.
Technically NZD/USD is trading weak and any short term trend reversal can happen only above 0.7600. On the upside any break above 0.7600 will target 0.7640/0.76645.
The pair’s minor support is around 0.7470 and any break below will drag the pair further down till 0.743/0.7380 (61.8% retracement of 0.71596 and 0.7738).
Indicator (1 Hours chart)
CCI (50) - Sell
CCI (14) – Sell
Ichimoku- Sell
It is good to sell on rallies around 0.7535 for the target of 0.7385 with stop around 0.7600.