NZD/USD: Off lows, but stuck at 200-hour MA

• Recovery in Kiwi dollar is being capped by 200-hour moving average (MA).
• Traders await NZ CPI release.

The NZD/USD pair is attempting recovery, but the 200-hour moving average hurdle of 0.7337 is proving a tough nut to crack.

The Kiwi dollar fell to a session low of 0.7328 earlier today, even though the Global Dairy Trade Price Index climbed 2.7 percent. " Gains at the latest auction were broad-based, and prices for whole milk powder, New Zealand's main export and the most-traded item at the auction, rose 0.9 percent", according to a Reuters report.

That said, the short-term momentum studies are aligned for a bullish move. For instance, the 5-day moving average (MA) and the 10-day MA are trending north, indicating bullish setup. Also, the Asian stocks are reporting gains and the S&P 500 futures are up 0.15 percent. Consequently, the 200-hour MA hurdle could be taken out soon.

Eyes NZ CPI

The annualized consumer price index (CPI) is seen rising 1.1 percent in the first quarter, slowing from a 1.6 percent pace three months earlier. A weaker-than-expected CPI could weigh over the Kiwi. The data is scheduled for release at 22:45 GMT.

NZD/USD Technical Levels

A move above 0.7344 (session high) would open up upside towards resistance lined up at 0.7372 (previous day's high) and 0.74 (psychological hurdle). On the downside, a break below 0.7322 (April 5 high) would expose 0.73 (zero figure) and 0.7286 (50-day MA).