16 Feb 2015
NZD/USD soars to fresh 4-week highs on strong NZ data
FXStreet (Mumbai) - The New Zealand surged nearly 1% to fresh monthly highs in the mid-European session, riding high on the wave of solid NZ Q4 2014 retail sales data amid thin trades as US is closed for a national holiday.
NZD/USD eyes 50-DMA
Currently, the NZD/USD trades higher by 0.97% at fresh one-month highs of 0.7528 levels, heading towards 0.7600 levels. NZD/USD continued its ascent after better than forecasts New Zealand’s retail sales numbers increased expectations of on-hold rates stance by the Reserve Bank of New Zealand (RBNZ) in its next meeting.
"While stronger than expected, today's result is very much in line with a bigger picture theme - strong momentum in New Zealand's domestic economy, against the backdrop of very low inflation," "The combination will encourage the Reserve Bank to maintain its on-hold stance for the OCR, “Westpac senior economist Felix Delbruck noted.
Also, a persistent broad based US dollar weakness also added to the gains in the NZD/USD pair.
NZD/USD Levels to consider
To the upside, the next resistance is located at 0.7593 (50-DMA) levels and above which it could extend gains to 0.7593 (50-DMA) levels. To the downside immediate support might be located at 0.7470 levels below that at 0.7430 levels.
NZD/USD eyes 50-DMA
Currently, the NZD/USD trades higher by 0.97% at fresh one-month highs of 0.7528 levels, heading towards 0.7600 levels. NZD/USD continued its ascent after better than forecasts New Zealand’s retail sales numbers increased expectations of on-hold rates stance by the Reserve Bank of New Zealand (RBNZ) in its next meeting.
"While stronger than expected, today's result is very much in line with a bigger picture theme - strong momentum in New Zealand's domestic economy, against the backdrop of very low inflation," "The combination will encourage the Reserve Bank to maintain its on-hold stance for the OCR, “Westpac senior economist Felix Delbruck noted.
Also, a persistent broad based US dollar weakness also added to the gains in the NZD/USD pair.
NZD/USD Levels to consider
To the upside, the next resistance is located at 0.7593 (50-DMA) levels and above which it could extend gains to 0.7593 (50-DMA) levels. To the downside immediate support might be located at 0.7470 levels below that at 0.7430 levels.