NZD/USD: consolidates, awaits NZ GDP and Aussie jobs key event

NZD/USD is currently consolidating the offer of yesterday's rebound from 0.7235 that managed a high of 0.7313 overnight, settling down at 0.7280 at time of writing.

The US dollar was a little softer today on the back of a retracement in the bond market sell-off in the US shift while oil dropped down almost 3% at the same time, capping the birds bid at aforementioned highs. For the forthcoming session, the key event will be NZ GDP. Analysis at Westpac suggested that this should be supportive. We also have  the main event in Australian employment. "Combine this with the NZD’s slight negative momentum and we’re left with a neutral outlook today, in a 0.7230-0.7360 range," suggested Westpac analysts who offered a 1-3 month view as follows, "During the month ahead another probe above 0.75 is possible, driven by good NZ economic news, a still-vulnerable US dollar, and yield-chasing inflows. By year end, there’s a case for a correction towards 0.70 if the Fed tightens in December as we expect. (13 Sep)."

NZD/USD levels

Spot is presently trading at 0.7283, and next resistance can be seen at 0.7284 (Daily Open), 0.7284 (Daily High), 0.7284 (Daily Classic PP), 0.7297 (Daily 20 SMA) and 0.7315 (Yesterday's High). Support below can be found at 0.7280 (Daily Low), 0.7279 (Hourly 20 EMA), 0.7252 (Weekly Low), 0.7239 (Weekly Classic S1) and 0.7238 (Yesterday's Low).