NZD/USD on abysmal fall… Wellington, do we have a problem?

FXstreet.com (Chicago) - NZD/USD plunged to 0.8233 7-day lows on worse than expected trade balance and extended losses, leaving behind two immediate supports to now face 0.82 zone.

In NZ, the trade balance for August (MoM) was $-1101M vs. past $-774M and expected $-743M. The annual balance was $-2.06B vs. expected $-1.62B and past $-1.69B.

NZD/USD Technical Levels

Price action reveals the violation of the upward trendline that started last August 30th after precipitous fall. The pair dropped to 7-day lows and is now offered at 0.8237 and oscillates between supports aligned at 0.8210 (May 30th highs), 0.8162 (August 20th highs) followed by 0.81 (August 15th highs) and the resistances set at 0.8267 (May 16th lows), 0.83 (September 23rd lows) followed by 0.8352 (September 19th lows). According to the FXstreet.com trend index, the pair is slightly bearish on one-hour timeframe analysis below the EMA20.

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