NZD/USD struggles to extend recovery beyond 20-DMA

The NZD/USD pair moved-off lows in the Asian session, although tries hard to keep the recovery mode intact above 0.72 handle amid dovish RBNZ and Trump win-led broad USD strength.

NZD/USD in close proximity to weekly lows

Currently, the NZD/USD pair drops -0.11% to 0.7203, having faced rejection at 20-DMA barrier located at 0.7223. The Kiwi fails to sustain every recovery attempt and remains under pressure for the third straight session, as markets face double whammy with intervention talks from the RBNZ on one hand.

While on the other hand, demand for greenback remains solid across the board on the back of a Trump-victory, which further adds to the bearish momentum in the major.

Later today, amid holiday-thinned markets, the spot will continue to get influenced by the USD price-action ahead of the US consumer sentiment and Fedspeak.

NZD/USD Levels to consider

To the upside, the next resistance is located at 0.7223 (daily high/ 20-DMA), above which it could extend gains to 0.7250 (key resistance) and from there to 0.7285/88 (5 & 10-DMA). To the downside immediate support might be located at 0.7174 (weekly low) and from there to at 0.7155 (daily S1), below which 0.7110 (Oct 28 low) would be tested.

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