Against the background of the stabilization of the US dollar and poor economic statistics from New Zealand, the NZD/USD pair is correcting near 0.6095.
The Statistical Office (Stats NZ) published data on construction activity in the second quarter, where, despite the positive dynamics (the value added 2.6%), the cost of building new homes continues to rise: from March to June, an increase of 4.2% was recorded, while the same indicator for non-residential property increased by 3.6%. The construction cost in this period was 31.0B dollars, up 12% from the same period a year earlier, and over the past 12 months, residential spending has risen by 17% and non-residential by 11%. Negative dynamics will undoubtedly put pressure on the pace of national economic recovery.
The American currency has consolidated at the achieved levels and is trading around 109.500 in the USD Index in anticipation of new macroeconomic data. Investors' main attention today is paid to the index of business activity in the service sector: since April, the index has fallen from 58.0 points to 47.3 points, and analysts expect the trend to continue to 44.3 points, which may provoke a downward movement of the national currency.
The trading instrument is moving within the global downtrend, gradually approaching the support line.
Technical indicators maintain a sell signal: fast EMAs on the Alligator indicator are below the signal line, and the AO oscillator histogram forms down bars in the sell zone.
Resistance levels: 0.6155, 0.6360. | Support levels: 0.6052, 0.5870.