25 Mar 2015
NZD/USD: long for 0.7890 – GrowthAces
FXStreet (Barcelona) - The Growth Aces Research Team shares NZ’s trade balance release, and further shares the trade setup and key levels for NZD/USD.
Key Quotes
“New Zealand’s trade surplus in February amounted to NZD 50 million, below market expectations for NZD 392 million, with exports lifting 6.7% mom imports higher by 6.3% mom. The annual trade deficit to the end of February widened to NZD 2.18 billion, the biggest since August 2009.”
“The deterioration in the annual deficit reflected a sharp fall in the value and volume of key dairy exports, particularly to the biggest market, China. Dairy export earnings were down 41% yoy with volumes down 10% yoy.”
“There were smaller falls in oil and aluminum exports. Imports were up 3.7% yoy led by consumer and capital goods, including clothing and electronic goods.”
“The NZD hovered near two-month highs against the USD buoyed by expectations that a rate hike in the USA may be delayed. However, worse-than-expected New Zealand’s foreign trade data resulted in a slight fall of the NZD/USD yesterday.”
“The kiwi did not react to a 16% slide in dairy giant Fonterra's first half profit. The rate recovered in the European session today.”
“We used yesterday’s fall of the NZD/USD to get long again. We opened our position at 0.7615, in line with our trading strategy released in yesterday’s Market Overview. Our target is 0.7890.”
“Resistance: 0.7698 (high Mar 24), 0.7782 (high Jan 20), 0.7808 (high Jan 19)”
“Support: 0.7604 (session low Mar 25), 0.7550 (low Mar 230, 0.7504 (55-dma)”
Key Quotes
“New Zealand’s trade surplus in February amounted to NZD 50 million, below market expectations for NZD 392 million, with exports lifting 6.7% mom imports higher by 6.3% mom. The annual trade deficit to the end of February widened to NZD 2.18 billion, the biggest since August 2009.”
“The deterioration in the annual deficit reflected a sharp fall in the value and volume of key dairy exports, particularly to the biggest market, China. Dairy export earnings were down 41% yoy with volumes down 10% yoy.”
“There were smaller falls in oil and aluminum exports. Imports were up 3.7% yoy led by consumer and capital goods, including clothing and electronic goods.”
“The NZD hovered near two-month highs against the USD buoyed by expectations that a rate hike in the USA may be delayed. However, worse-than-expected New Zealand’s foreign trade data resulted in a slight fall of the NZD/USD yesterday.”
“The kiwi did not react to a 16% slide in dairy giant Fonterra's first half profit. The rate recovered in the European session today.”
“We used yesterday’s fall of the NZD/USD to get long again. We opened our position at 0.7615, in line with our trading strategy released in yesterday’s Market Overview. Our target is 0.7890.”
“Resistance: 0.7698 (high Mar 24), 0.7782 (high Jan 20), 0.7808 (high Jan 19)”
“Support: 0.7604 (session low Mar 25), 0.7550 (low Mar 230, 0.7504 (55-dma)”