The NZD/USD pair registered an amazing upwards movement. It has taken out strong resistance levels, so the bias is bullish. Further growth is possible as the Dollar Index is bearish. Alslo, yesterday’s breakout above the former high signaled an upside continuation despite temporary declines.
Fundamentally, the USD could resume its depreciation after the PPI reported only 0.2% growth in December versus 0.4% expected, while the Unemployment Claims indicator was reported at 230K above 199K expected.
NZD/USD Technical Analysis!
NZD/USD registered an aggressive breakout above the 0.6867 static resistance, through the former high. In the short term, we cannot exclude a minor retreat, maybe the NZD/USD could come back to test and retest the broken levels before resuming its growth.
A minor decline to retest the former highs or a consolidation could attract more buyers and could bring new opportunities. Also, a new higher high, a bullish closure above 0.6890 today’s high could activate an upside continuation.
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