FXStreet (Edinburgh) – The Kiwi dollar is suffering the increasing risk aversion today, sending NZD/USD to test troughs below the 0.6400 handle.

NZD/USD in 3-month lows

Increasing risk aversion and a generalized weakness around commodities currencies in response to another drop of crude oil prices keep impacting on the pair, dragging it to levels last seen in September 2015.

Ahead in the session, the usual dairy auction is expected in New Zealand, while Retail Sales and Industrial Production figures will be the main events in the US calendar.

NZD/USD significant levels

The pair is now down 1.27% at 0.6394 with the next support at 0.6223 (monthly low Sep.2015) ahead of 0.6000 (psychological level) and finally 0.5920 (monthly low May 2006). On the other hand, a break above 0.6588 (100-day sma) would expose 0.6651 (55-day sma) and then 0.6702 (20-day sma).

The Kiwi dollar is suffering the increasing risk aversion today, sending NZD/USD to test troughs below the 0.6400 handle…

(Market News Provided by FXstreet)

By FXOpen