Back
24 Feb 2015
NZD/USD slides further to 0.7430
FXStreet (Córdoba) - NZD/USD continued to decline during the European session and printed a fresh 1-week low at 0.7433. Recently rebounded and climbed back above 0.7450. Despite trimming losses the pair is still suffering the worst decline since late January. The NZ dollar is lower on Tuesday in the market, but on a positive note, during the last hours did not reach fresh lows.
The kiwi weakened across the board after the release of the Reserve Bank of New Zealand Survey of Expectations. “One and two-year-ahead expectations of annual Consumers Price Index (CPI) inflation have again declined. The one-year series decreased from 1.59 to 1.11 percent on a mean basis. The median fell to 1.0 percent. Respondents’ two-year-ahead inflation expectations decreased from 2.06 to 1.80 percent, a fall of 0.26 percentage points”, noted the report. The decline of inflation expectations triggered a slide of the kiwi.
NZD/USD levels to watch
The pair remains weak in the short term from a technical perspective after breaking an uptrend line originated af February lows. To the downside, immediate support might lie at 0.7430/35 (daily low) and 0.7380. On the opposite direction, resistance could be located at 0.7480, 0.7550 (Feb 20 high) and 0.7570/75 (Feb 18, 19 high).
The kiwi weakened across the board after the release of the Reserve Bank of New Zealand Survey of Expectations. “One and two-year-ahead expectations of annual Consumers Price Index (CPI) inflation have again declined. The one-year series decreased from 1.59 to 1.11 percent on a mean basis. The median fell to 1.0 percent. Respondents’ two-year-ahead inflation expectations decreased from 2.06 to 1.80 percent, a fall of 0.26 percentage points”, noted the report. The decline of inflation expectations triggered a slide of the kiwi.
NZD/USD levels to watch
The pair remains weak in the short term from a technical perspective after breaking an uptrend line originated af February lows. To the downside, immediate support might lie at 0.7430/35 (daily low) and 0.7380. On the opposite direction, resistance could be located at 0.7480, 0.7550 (Feb 20 high) and 0.7570/75 (Feb 18, 19 high).