The NZD/USD pair reversed early gains and turns in the negative territory during the mid-Asian session, mainly driven by a fresh bout of profit-taking.

NZD/USD fails once again near 0.6900

Currently, the NZD/USD pair trades -0.06% lower near fresh session lows of 0.6842, having climbed to fresh three-month peaks at 0.6884 at Tokyo open. The Kiwi shaved-off gains and witnessed almost 50-pips sell-off over the last few hours, as the traders resorted to profit-taking after the recent extensive rally to multi-month tops.

The Kiwi took a flight to near 0.69 handle earlier today after the release of strong NZ economic data. The building consents data figures showed a 10.8% increase last month, rebound from the 7.8% drop seen in January. While the oil price recovery along with a broadly weaker USD on dovish Yellen, also helped the bird to reach three-month tops.

Next of relevance for NZD/USD remains the US ADP employment report followed by EIA crude inventories due later today, while NZ Business confidence numbers due tomorrow will be also closely watched for fresh momentum on the pair.

NZD/USD Levels to consider

To the upside, the next resistance is located at 0.6884/92 (Daily & Dec 29 High), above which it could extend gains to 0.6914 (Daily R1/ multi-month highs). To the downside immediate support might be located at 0.6821/17 (Daily pivot/ 1h 20-SMA) and from there to 0.6770/62 (Daily S1/ 5-DMA).

The NZD/USD pair reversed early gains and turns in the negative territory during the mid-Asian session, mainly driven by a fresh bout of profit-taking.

(Market News Provided by FXstreet)

By FXOpen