23 Feb 2015
NZD/USD: Turning neutral/bearish below the pivot
FXStreet (Guatemala) - NZD/USD is currently trading at 0.7520 with a high of 0.7536 and a low of 0.7509.
NZD/USD remains at a snails pace at the start of the week ahead of the main risk event coming in the form of Yellen's testimony on tuesday and Wednesday. Jacqui Douglas, Senior Global Strategist at TD Securities, explained that Yellen will be balanced and optimistic in her testimony this week, leaving her relatively hawkish compared to current market expectations.
"The Fed Chair is likely to lean against a market robbing the Fed of needed flexibility to raise rates this year after the latest minutes gave the market a false sense of security the Fed is blinking on raising rates."
Technically, we remain consolidated on the 0.75 handle and trading above the 20SMA on the daily sticks by some margin of circa 100 pips. However, the major is now trading slightly bearish just below the pivot with S1 at 0.7507 and R1 at 0.7550.
NZD/USD remains at a snails pace at the start of the week ahead of the main risk event coming in the form of Yellen's testimony on tuesday and Wednesday. Jacqui Douglas, Senior Global Strategist at TD Securities, explained that Yellen will be balanced and optimistic in her testimony this week, leaving her relatively hawkish compared to current market expectations.
"The Fed Chair is likely to lean against a market robbing the Fed of needed flexibility to raise rates this year after the latest minutes gave the market a false sense of security the Fed is blinking on raising rates."
Technically, we remain consolidated on the 0.75 handle and trading above the 20SMA on the daily sticks by some margin of circa 100 pips. However, the major is now trading slightly bearish just below the pivot with S1 at 0.7507 and R1 at 0.7550.