NZD/USD: minor recovery to 50 1hr sma despite RBNZ's concerns

NZD/USD is in a minor recovery from the low of 0.6951 to print a high of 0.7013.

The US dollar index reversed lower and gave way to a recovery, but the bird is under heavy pressure on expectations from the RBNZ's next meeting while the recent rhetoric was dovish along with expressing their concerns for the level of the bird. This pressured the NZD/USD below 0.7000, but analysts have explained that the bird needs to be below 0.6960 to excite the bears given the recent recovery.

NZD/USD levels

The same analysts offered a 1-3 month views on NZD/USD, "The uncertainty generated by Brexit plus further RBNZ easing should be negative for the NZD. We target 0.67." Meanwhile, the price is resisted by the 50 sma on the 1hr chart at 0.7009. A break there opens 0.7050 and 20th July highs ahead of 17th July highs of 0.7153.