FXStreet (Guatemala) – NZD/USD is currently trading at 0.6931 with a high of 0.7000 and a low of 0.6880.
NZD/USD has been trying to stage a recovery on the back of the RBNZ surprise cut last week and yesterday’s release of GDP. New Zealand Gross Domestic Product (QoQ) came way below forecasts (0.6%) in 1Q: Actual (0.2%) while New Zealand Gross Domestic Product (YoY) came in at 2.6%, below expectations (3%) in 1Q.
Today, the market was short of the greenback post yesterday’s adjustments to their interest rate forecast and dovish statement and then bid on the back of flows away from the single currency on the back of the Eurogroup meeting around Greece and the lack of progress made once again. This left the bird caught up and somewhat volatile but within a relatively narrow range in a slightly bid channel off yesterday’s lows.
NZD/USD enroute for 2010 lows?
Technically, 0.6800 remains on the bears map should the downside be extended further, challenging June 2010 lows of 0.6793. however, has the easy money in the bird been had?
Sam tuck, analyst at ANZ explained that they would maintain an active short trading bias on the NZD, but see the easy money as being collected for now. “We expect New Zealand data developments to continue to surprise lower, keeping the NZD under pressure. However, we expect the pace of declines to slow and the reaction to such surprises to decline.”
(Market News Provided by FXstreet)