9 Jul 2014
NZD/USD targets post-float highs
FXStreet (Córdoba) - The NZD/USD extended gains and printed fresh 3-year highs at the beginning of the European session, underpinned by the prospect the agency Fitch could upgrade New Zealand’s sovereign rating.
The NZD/USD broke above the 0.8800 mark after Fitch revised its outlook on New Zealand's AA-rating to positive from stable, citing progress in fiscal consolidation. It stretched to a nearly 3-year peak of 0.8815, bringing into focus its post-float high around 0.8840 set in August 2011.
The New Zealand dollar has been supported by its high-yielding status and prospects the RBNZ will likely hike its rate by another 25 bps.
NZD/USD technical levels
At time of writing, the Kiwi is trading at 0.8805, recording a 0.25% gain on the day. In terms of technical levels, next resistances are seen at 0.8815 (Jul 9 high), 0.8842 (Aug 1 2008 high) and 0.8900 (psychological level). On the flip side, supports could be faced at 0.8766 (10-day SMA), 0.8736 (Jul 8 low) and 0.8710 (Jul 7 low).
The NZD/USD broke above the 0.8800 mark after Fitch revised its outlook on New Zealand's AA-rating to positive from stable, citing progress in fiscal consolidation. It stretched to a nearly 3-year peak of 0.8815, bringing into focus its post-float high around 0.8840 set in August 2011.
The New Zealand dollar has been supported by its high-yielding status and prospects the RBNZ will likely hike its rate by another 25 bps.
NZD/USD technical levels
At time of writing, the Kiwi is trading at 0.8805, recording a 0.25% gain on the day. In terms of technical levels, next resistances are seen at 0.8815 (Jul 9 high), 0.8842 (Aug 1 2008 high) and 0.8900 (psychological level). On the flip side, supports could be faced at 0.8766 (10-day SMA), 0.8736 (Jul 8 low) and 0.8710 (Jul 7 low).