NZD/USD Takes-Out 0.7000, Highest Since June 2015
The bid tone surrounding the NZD picked-up pace in the last hour, with the NZD/USD pair finally piercing through 0.70 barrier amid fresh buying in the black gold.
NZD/USD sees a 30-pips rally
Currently,
the NZD/USD pair trades 0.79% higher at 0.7004, hovering close to fresh
ten-month highs posted at 0.7009 last minutes. The Kiwi caught fresh
bid-wave this session after the oil prices halted the overnight retreat
and swung back into gains, providing fresh impetus to resource-linked
NZD. Both crude benchmarks now gain about 0.80% versus -0.50% drop seen
in Asia.
The upside gained further steam also after the US dollar
dived deeper into the red across the board, with the USD index dropping
to the tune of -0.19% to trade around 94.25 levels, fresh four-day
lows.
Focus now remains on the latest fortnightly Fonterra’s
dairy auction results - Global Dairy Trade (GDT) price index and the US
datasets due to be reported later today.
NZD/USD Levels to consider
To
the upside, the next resistance is located at 0.7022 (daily R1/ June
2015 levels), above which it could extend gains to 0.7050/62
(psychological levels/ daily R2). To the downside immediate support
might be located at 0.6932/29 (1h 50-SMA/ 5-DMA) and from there to
0.6908/00 (1h 100-SMA/ round number).
