The U.S dollar continued to strengthen against the New Zealand dollar as commodity currencies continues to devalue. The pair fell as low as 0.6380 before retreating. Initial bias stays on the downside this week as 21 and 55 EMA crossed to the downside with SSRC oscillator still signalling bearish momentum is intact in the pair. A break of 0.6380 support will confirm bearish trend resumption and bring further decline to 0.6152 low for a re-test.
Later this week, investors will be looking at the NZD CPI for fresh speculation of the currency’s fate.