Solid News

NZDUSD Instrument Develops "Bullish" Momentum

12/9/2022 11:03 AM

The New Zealand dollar shows active growth, developing the "bullish" momentum that formed on the market on Wednesday, December 7. The growth of the NZD/USD pair is taking place against the backdrop of a correction in the US currency, which awaits the last two-day meeting of the US Federal Reserve in 2022 next week. Current forecasts suggest that the interest rate will be increased by 50 basis points in response to some improvement in the dynamics of consumer inflation, which fell to 7.7% in October. In addition, traders are closing long positions on the US currency ahead of today's publication of November statistics on producer inflation in the US. The market expects that the figure may slow down from 8.0% to 7.4%, which will give the regulator additional room to maneuver.

In turn, the macroeconomic statistics released the day before from New Zealand failed to significantly affect the dynamics of the instrument. Electronic Card Retail Sales in November increased by only 0.3%, slowing down from 1.0% in the previous month, and in annual terms, the figure fell from 16.6% to 7.1%, which turned out to be significantly worse than the forecasts of analysts at the level of 12.9%. At the same time, Manufacturing Sales in the third quarter rose by 3.1% after falling by 4.9% in the previous period, while analysts had expected -2.4%.

Bollinger Bands on the daily chart show a steady increase. The price range is slightly narrowing, reflecting the emergence of multidirectional trading dynamics in the short term. MACD is growing preserving a weak buy signal (located above the signal line). Stochastic is reversing upwards after quite an active decline at the beginning of last week. The current showings of the indicator do not contradict the further development of the upward trend in the ultra-short term.

Resistance levels: 0.6400, 0.6450, 0.6500, 0.6535. | Support levels: 0.6350, 0.6288, 0.6250, 0.6200.

Find Us
Registered Address : Bonovo Road – Fomboni Island of Mohéli – Comoros Union
Sofia, PO Box 1407,14 Flip Kutev Str. Floor 2, Industrial area Hladilnika, Bulgaria
Call Us
+35 924 928 392

Risk Warnings
Solid ECN Securities LLC offers trading on Foreign Exchange (‘Forex’ or ‘FX’) and Contracts for Difference (‘CFDs’), which are complex financial products that are traded on margin. They carry a high level of risk since leverage can work both to your advantage and disadvantage. As a result, these products may not be suitable for all investors, as loss of all invested capital may occur. You should not risk more than you are prepared to lose. Before deciding to trade, you need to ensure that you understand the risks involved and consider your investment objectives and level of experience. Seek independent advice, if necessary.
Solid ECN Securities LLC does not issue advice, recommendations or opinions in relation to acquiring, holding or disposing of a CFD. Solid ECN Securities LLC is not a financial advisor and all services are provided on an execution-only basis. This communication is not an offer or solicitation to enter into a transaction and shall not be construed as such.
This website is not directed at any jurisdiction and is not intended for any use that would be contrary to local law or regulation.
By using you agree to use our cookies to enhance your experience.
Solid ECN Securities LLC is authorized and regulated by the Comoros Union with reference number HY00623411.
Disclaimer 1: The information provided on this site is not intended for residents of any country or jurisdiction where its distribution or use would violate local laws or regulations.
Disclaimer 2: Solid ECN Securities LLC and it affiliates does not provide services to residents of the USA, Japan, Canada, Australia, the Democratic Republic of Korea, European Union, United Kingdom, Iran, Syria, Sudan and Cuba.
Copyright All Right Reserved 2024