26 Jun 2014
NZD/USD keeps flying to print fresh 3-year high
FXStreet (Bali) - NZD/USD just shot up to post its highest level since July 31, 2011, after reaching a new peak of 0.8787 in thin market conditions.
Stops reported above this year's high at 0.8770/75 were taken out, causing a cascade of buy stop orders to get triggered, allowing the rate to extend its firm bullish momentum since Wed's awful US Q1 GDP, a major positive input in the pair as the perception in monetary policy divergences between the RBNZ and the Fed widens further.
Technically, the breakout set the stage for a new upside objetive of 0.8845, 2011 high, followed by 0.89 round number, with the 0.90 no longer an illusion should NZ data continue to support the Kiwi. The next risk even is at 6.45 GMT with the New Zealand current account, which should see further volatility in the pair ahead of Tokyo.
Stops reported above this year's high at 0.8770/75 were taken out, causing a cascade of buy stop orders to get triggered, allowing the rate to extend its firm bullish momentum since Wed's awful US Q1 GDP, a major positive input in the pair as the perception in monetary policy divergences between the RBNZ and the Fed widens further.
Technically, the breakout set the stage for a new upside objetive of 0.8845, 2011 high, followed by 0.89 round number, with the 0.90 no longer an illusion should NZ data continue to support the Kiwi. The next risk even is at 6.45 GMT with the New Zealand current account, which should see further volatility in the pair ahead of Tokyo.