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23 Sep 2013
NZD/USD bouncing back on China PMI
FXstreet.com (Athens)- The NZD/USD started the week in great volatility, as Merkel’s third successive win, in combination with up beating Chinese PMI baffled “kiwi” which found itself losing almost 243 pips.
The NZD/USD bounces back, shrugging off its early opening session huge losses
Not a usual start-up week regarding the “kiwi”, as the pair lost around 240 pips since its opening trading session on Sunday, mainly due to the Merkel’s win that boosted the single currency against the “kiwi”, therefore “kiwi” found itself under pressure generally across the board, as well as because there is a new looming chattering about a modest tapering in the upcoming FOMC meeting next month. The “tapering” issue gained again solid ground as Fed’s Saint Louis Fed president Bullard, mentioned that the U.S. central bank might move next month to reduce stimulus spending. In addition Bullard added a finishing touch in his quoting, saying that “no tapering with a modest tapering as of 10-15 billions per month has no any difference at all”. Traders should bear in mind that the pair will also be influenced by other major key events like what is going to happen with the US debt ceiling.
Technical and Strategic Bias on NZD/USD
Traders should be aware of the fact that the “kiwi” is again and again with its antipodean counterpart, the “Aussie”, therefore it could be a great idea to look simultaneously at both pairs when trading one of them. At the time of writing the pair is trading at 0.8372, up 0.17% and near its daily high as of 0.8384. Ahead, Friday’s high as of 0.8402 remains the initial topside resistance, with the support being held at the 19th September’s low of 0.8327.
The NZD/USD bounces back, shrugging off its early opening session huge losses
Not a usual start-up week regarding the “kiwi”, as the pair lost around 240 pips since its opening trading session on Sunday, mainly due to the Merkel’s win that boosted the single currency against the “kiwi”, therefore “kiwi” found itself under pressure generally across the board, as well as because there is a new looming chattering about a modest tapering in the upcoming FOMC meeting next month. The “tapering” issue gained again solid ground as Fed’s Saint Louis Fed president Bullard, mentioned that the U.S. central bank might move next month to reduce stimulus spending. In addition Bullard added a finishing touch in his quoting, saying that “no tapering with a modest tapering as of 10-15 billions per month has no any difference at all”. Traders should bear in mind that the pair will also be influenced by other major key events like what is going to happen with the US debt ceiling.
Technical and Strategic Bias on NZD/USD
Traders should be aware of the fact that the “kiwi” is again and again with its antipodean counterpart, the “Aussie”, therefore it could be a great idea to look simultaneously at both pairs when trading one of them. At the time of writing the pair is trading at 0.8372, up 0.17% and near its daily high as of 0.8384. Ahead, Friday’s high as of 0.8402 remains the initial topside resistance, with the support being held at the 19th September’s low of 0.8327.