3 Feb 2015
NZD/USD accelerates recovery after a strong rise in the global dairy price index
FXStreet (Mumbai) - The NZD/USD pair extended recovery from 0.7250 to 0.7280 after the sharp rise in the Fonterra dairy price index.
NZD/USD approaching hourly 100-SMA
The pair is fast approaching the hourly 100-SMA located at 0.7287 levels after the dairy price index rose 9.4% in the latest auction. Fonterra’s last dairy trade auction in late January also showed an increase of 1.0% in the overall auction index. The last four global dairy trade (GDT) auctions have now yielded a positive result. More importantly, the whole milk prices rose 19.2% on the previous auction.
Meanwhile, recovery in the Crude prices has led to a broad based weakness in the US dollar.
NZD/USD Technical Levels
The immediate resistance is seen at 0.7287 (hourly 100-SMA), above which gains could be extended to 0.7322 levels. Meanwhile, support is seen at 0.7260 (hourly 50-SMA) and 0.7220 levels.
NZD/USD approaching hourly 100-SMA
The pair is fast approaching the hourly 100-SMA located at 0.7287 levels after the dairy price index rose 9.4% in the latest auction. Fonterra’s last dairy trade auction in late January also showed an increase of 1.0% in the overall auction index. The last four global dairy trade (GDT) auctions have now yielded a positive result. More importantly, the whole milk prices rose 19.2% on the previous auction.
Meanwhile, recovery in the Crude prices has led to a broad based weakness in the US dollar.
NZD/USD Technical Levels
The immediate resistance is seen at 0.7287 (hourly 100-SMA), above which gains could be extended to 0.7322 levels. Meanwhile, support is seen at 0.7260 (hourly 50-SMA) and 0.7220 levels.