NZD/USD on 0.88 handle, for how much longer?

FXStreet (Guatemala) - NZD/USD is trading at 0.8820, up 0.08% on the day, having posted a daily high at 0.8824 and low at 0.8808.

The latest New Zealand PMI gave us an indication that there may be some cooling in the services sector after the strength seen on previous months such as in March and April. Also worth noting, the New Zealand house prices data released this morning was showing us slowing growth in the sector. Meanwhile, as RBS FX Strategist Greg Gibbs noted, “The NZD remains close to its record high and the market is mostly looking for a fourth hike in a row this year in July”. He added, “Of key interest to the market this week will be the Q2 inflation data in New Zealand…The market is anticipating inflation to rise from 1.5% to 1.8%y/y in Q2, approaching the 2% target of the RBNZ”.

NZD/USD Levels

Spot is presently trading at 0.8820, and next resistance can be seen at 0.8823 (Monthly High), 0.8823 (Weekly High), and (5 Year High). Next support to the downside can be found at 0.8816 (Daily Classic PP), 0.8815 (Hourly 20 EMA), 0.8814 (Daily Open), 0.8808 (Daily Low) and 0.8801 (Hourly 100 SMA).

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