2 Sep 2013
NZD/USD exhausts upswing at 0.7788 highs
FXstreet.com (Chicago) - NZD/USD has strengthened 0.79% so far against the dollar on US holiday and first trading session of the week. Positive data released in China seems to have contributed to the NZD rally.
Uplifting data
Positive sentiment spread across Asia after China released manufacturing results indicating economic expansion these last months with the NBS manufacturing PMI up at 51.0 vs. prior 50.3 and projections at 50.6 and the HSBC manufacturing PMI failing short to meet 50.2 expectations to reach 50.1 after increasing from previous 47.7. In New Zealand, the terms of trade were 4.9% vs. past 4.2% and expected 3.9%.
NZD/USD Technical Levels
Price action reveals heavy buying with a runaway gap opening the session after bouncing off 0.7738 bottoms. At 0.7780, the pair trades between supports aligned at 0.7777 (August 30th highs), 0.7748 (August 29th lows) ahead of 0.7719 (August 30th lows) and resistances at 0.78 (August 29th highs), 0.7834 (August 28th highs) followed by 0.7858 (August 22nd highs). The FXstreet.com trend index reports the pair as slightly bullish on one-hour timeframe analysis and is offered above the EMA20.
Uplifting data
Positive sentiment spread across Asia after China released manufacturing results indicating economic expansion these last months with the NBS manufacturing PMI up at 51.0 vs. prior 50.3 and projections at 50.6 and the HSBC manufacturing PMI failing short to meet 50.2 expectations to reach 50.1 after increasing from previous 47.7. In New Zealand, the terms of trade were 4.9% vs. past 4.2% and expected 3.9%.
NZD/USD Technical Levels
Price action reveals heavy buying with a runaway gap opening the session after bouncing off 0.7738 bottoms. At 0.7780, the pair trades between supports aligned at 0.7777 (August 30th highs), 0.7748 (August 29th lows) ahead of 0.7719 (August 30th lows) and resistances at 0.78 (August 29th highs), 0.7834 (August 28th highs) followed by 0.7858 (August 22nd highs). The FXstreet.com trend index reports the pair as slightly bullish on one-hour timeframe analysis and is offered above the EMA20.