Market news
29.04.2024, 11:11

NZD/USD Price Analysis: Prints fresh two-week high near 0.5980

  • NZD/USD trades close to a two-week high around 0.5980 amid improved market mood.
  • The US Dollar drops ahead of the Fed’s policy meeting, scheduled for May 1.
  • NZ Q1 Employment data will guide the next move in the Kiwi Dollar.

The NZD/USD pair refreshes two-week high near 0.5980 in Monday’s European session. The Kiwi asset is up 0.55% as appeal for risk-sensitive assets is upbeat. The US Dollar drops as weak United States data has raised concerns over its economic outlook.

The US Dollar Index (DXY) remains near the key support of 105.50 due to a poor outlook by the S&P Global PMI survey for April and weak Q1 Gross Domestic Product (GDP) data.

Meanwhile, investors shift focus to the Federal Reserve’s (Fed) monetary policy, which will be announced on Wednesday. The CME FedWatch tool shows that interest rates will remain unchanged in the range of 5.25%-5.50%. Therefore, fresh guidance on interest rates will influence further action in the US Dollar.

On the New Zealand Dollar front, investors will focus on the Q1 Employment data, which will be published on Tuesday. The labor market is expected to have grown by 0.3%, slower than the prior pace of 0.4%. The Labor Cost Index that feeds price pressures are forecasted to rise slowly by 0.8% from 1.0% growth recorded in the last quarter of 2023. Tight labor market conditions would allow the Reserve Bank of New Zealand (RBNZ) to keep the monetary policy restrictive for a longer period.

NZD/USD pair rebounds strongly after the discovery of buying interest around 0.5850. The Kiwi asset rebounded after a Double Bottom formation, which lead to a bullish reversal emerges. The asset has extended its upside above the horizontal resistance plotted from April 1 low around 0.5939, which has become a support for New Zealand Dollar bulls.

The near-term outlook improves as the asset holds gains above the 20-period Exponential Moving Average (EMA) around 0.5950. The 200-EMA around 0.5990 is still a major roadblock for the New Zealand Dollar bulls.

The 14-period Relative Strength Index (RSI) climbs above 60.00, suggesting a bullish momentum has been triggered.

Further upside above the psychological resistance of 0.6000 will drive the asset towards April 4 high around 0.6050 and the round-level resistance of 0.6100.

On the contrary, a fresh downside would appear if the asset breaks below April 16 low at 0.5860. This would drag the asset toward 8 September 2023 low at 0.5847, followed by the round-level support of 0.5900

NZD/USD four-hour chart

NZD/USD

Overview
Today last price 0.5974
Today Daily Change 0.0032
Today Daily Change % 0.54
Today daily open 0.5942
 
Trends
Daily SMA20 0.5959
Daily SMA50 0.6045
Daily SMA100 0.6113
Daily SMA200 0.6047
 
Levels
Previous Daily High 0.597
Previous Daily Low 0.5929
Previous Weekly High 0.597
Previous Weekly Low 0.5886
Previous Monthly High 0.6218
Previous Monthly Low 0.5956
Daily Fibonacci 38.2% 0.5945
Daily Fibonacci 61.8% 0.5954
Daily Pivot Point S1 0.5924
Daily Pivot Point S2 0.5906
Daily Pivot Point S3 0.5883
Daily Pivot Point R1 0.5965
Daily Pivot Point R2 0.5988
Daily Pivot Point R3 0.6006

 

 

© 2000-2024. All rights reserved.

This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).

The information on this website is for informational purposes only and does not constitute any investment advice.

The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.

AML Website Summary

Risk Disclosure

Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.

Privacy Policy

Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.

Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.

Bank
transfers
Feedback
Live Chat E-mail
Up
Choose your language / location