Home NZD/USD at a cross-roads: It’s now all about (US elections) NZ jobs
FXStreet News

NZD/USD at a cross-roads: It’s now all about (US elections) NZ jobs

  • NZD/USD has been resting in a nest between 0.6650 and 0.6684 and has been so despite a bullish bias in the greenback, US rates and a late decline in risk on Wall Street.  
  • The antipodeans are at a crossroads at this juncture.

There has been a switch-up in sentiment towards global trade based upon a few tweets from Trump that seemed to have sparked a paring back of speculative positions in the Aussie and Kiwi and dollar longs.  

However, there has been very little substance nor clarity over the trade dispute between Xi and Trump being resolved ahead of the G20 summit on the 26th of this month. In fact, quite to the contrary, there have been reports that Trump and Xi are not any closer to finding a solution tot heir dispute – yet, the Yuan and antipodeans remain in their safe zones for the time being.  

US Mid-terms – Election Night Live Coverage

Traders are waiting for the US election results today which will determine in the fate of the greenback for the near term, however, from a domestic front, the NZ jobs data are on the cards where the unemployment rate is expected to come in at 4.5%.  

“After a reasonably quiet start to the week, it should get more exciting today with the US mid-terms in focus. Not only are the results themselves uncertain, but so too is the market reaction to various permutations. The kiwi is close to resistance here so its performance today is going to hinge heavily on the results,” analysts at ANZ New Zealand Bank Limited explained.  

NZD/USD levels

  • Support 0.6550
  • Resistance 0.6690

NZD/USD finds support at the 23.6% Fibo at 0.6635 while the rising 21-hr SMA is a fragile boundary at 0.6667. A break below these levels opens 0.6601 and the 38.2% Fibo. 0.6550 is where the 61.8% retracement falls. To the upside, 0.6688 recent double tops highs guard R3 0.6722 and double top highs of 27th Aug 0.6727. 138.2% is located at 0.6775 ahead of the 161.8% that meets the June 20 low at 0.6826 ahead of the double top July-Aug highs at 0.6850/60.

FX Street

FX Street

FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions.