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11 May 2015
NZD/USD falls to 8-week lows
FXStreet (Córdoba) - NZD/USD fell sharply on Monday and scored a nearly 2-month low as the kiwi weakened amid growing expectations the Reserve Bank of New Zealand could cut rates.
NZD/USD fell nearly 100 pips throughout the Asian session and following a consolidation phase near lows, it pushed further down and printed a 2-month low of 0.7356 in recent dealings. At time of writing, the pair is trading at 0.7365, recording a 1.54% loss on the day.
The RBNZ will issue its Financial Stability Review on Wednesday and investors will be looking for signs that the central bank is leaning towards easier policy. The RBNZ has room to cut rates after four 25 bps hikes to 3.5% in 2014.
NZD/USD levels to watch
In terms of technical levels, NZD/USD could find immediate supports at 0.7300 (psychological level), 0.7274 (Mar 18 low) and 0.7253 (Mar 10 low). On the other hand, resistances are seen at 0.7465 (daily high) and 0.7500 (psychological level) ahead of 0.7523 (50-day SMA).
NZD/USD fell nearly 100 pips throughout the Asian session and following a consolidation phase near lows, it pushed further down and printed a 2-month low of 0.7356 in recent dealings. At time of writing, the pair is trading at 0.7365, recording a 1.54% loss on the day.
The RBNZ will issue its Financial Stability Review on Wednesday and investors will be looking for signs that the central bank is leaning towards easier policy. The RBNZ has room to cut rates after four 25 bps hikes to 3.5% in 2014.
NZD/USD levels to watch
In terms of technical levels, NZD/USD could find immediate supports at 0.7300 (psychological level), 0.7274 (Mar 18 low) and 0.7253 (Mar 10 low). On the other hand, resistances are seen at 0.7465 (daily high) and 0.7500 (psychological level) ahead of 0.7523 (50-day SMA).