NZD/USD above the 0.7900 handle

FXstreet.com (Barcelona) - NZD/USD remains bid in the opening hour of the European session.

NZD/USD is holding above the 0.7900 handle, albeit with only an overnight high of 0.7917 which equates to almost 80 pips up since yesterdays start in Europe. Overnight we have seen some New Zealand data as follows: Unemployment Rate (Q2) came in at 6.4% vs 6.3% and 6.2% previous. Employment Change (Q2) came in 0.4% in line with consensus and down from previous 1.7%. Labour cost index (QoQ) (Q2) was printing 0.4% vs 0.5% consensus and 0.4% previous. Labour cost index (YoY) (Q2) arrived at 1.7% vs 1.8% consensus and down from previous 1.8%. Research teams at TD Securities said the monetary policy implications are minimal: “we continue to expect the RBNZ to begin its tightening cycle in March 2014”.

NZD/USD positive bias

NZD/USD remains in positive territory on the rebound still while the 20 d ma is 0.7921, 50 d ma reads 0.7904 and the 200 d ma is 0.8221. RSI reads 47.88 while supports are ascending from 0.7670, 0.7737, 0.7782, 0.7823. Spot is currently 0.7904 and resistances are coming in at 0.7919, 0.7940, 0.7958 and 0.7987.

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