Kiwi buyers back in the mix after data beats
The inflation expectations report and China's trade balance data is what is helping to keep the kiwi buoyed on the day - but NZD/USD is also moving a tad higher as the dollar is among the laggards heading into European trading.
The pair has now moved back above the 100-hour MA (red line) after several attempts yesterday failed to breach the key level. Buyers have now ended the near-term bearish bias but there are key resistance levels sitting nearby.
First up, there is yesterday's high @ 0.6755 followed by Friday's high @ 0.6766. Following which, there is also the 200-hour MA (blue line) @ 0.6773. The latter is one of the more key levels to watch as a break above that will indicate a more bullish near-term bias in the pair.
Looking at the bigger picture though, price appears to be consolidating over the last one month or so between the 0.6700-20 to 0.6850 region with upside capped by the 23.6 retracement level @ 0.6855.
So, even if buyers do take back control in the near-term, the 0.6855 level will be an area of interest for both buyers and sellers. Get above and there's a strong case for a further move higher, otherwise we'll remain very much range-bound still.
