21 Jan 2014
NZD/JPY soars after New Zealand CPI
FXstreet.com (Córdoba) - The NZD/JPY rocketed after the release of inflation data in New Zealand. Before the report, was trading at 86.05 and 50 minutes after it was at 86.82, at the highest level since last Friday.
According to the report, the Consumer Price Index rose at a pace of 0.1% during the fourth quarter in New Zealand, analysts were expecting a negative reading of -0.1%. On an annual basis, the rate was 1.6%, above the 1.5% expected.
Levels to watch for the NZD/JPY
During Monday the pair bottomed on European hours at 85.50 and since then it has risen now over 130 pips, making a strong reversal and breaking key short-term resistance levels. To the upside immediate resistance lies at 86.95 and above at 87.35 (January 14, 16 highs). Potential support levels now are located at 86.50 and below at 86.20 and 85.90.
According to the report, the Consumer Price Index rose at a pace of 0.1% during the fourth quarter in New Zealand, analysts were expecting a negative reading of -0.1%. On an annual basis, the rate was 1.6%, above the 1.5% expected.
Levels to watch for the NZD/JPY
During Monday the pair bottomed on European hours at 85.50 and since then it has risen now over 130 pips, making a strong reversal and breaking key short-term resistance levels. To the upside immediate resistance lies at 86.95 and above at 87.35 (January 14, 16 highs). Potential support levels now are located at 86.50 and below at 86.20 and 85.90.