NZD/USD: vulnerable to the downside on Fed Dec expectations

Currently, NZD/USD is trading at 0.7001, down -0.08% on the day, having posted a daily high at 0.7014 and low at 0.6972.

NZD/USD is consolidating the downside and strength in the greenback, with the DXY back below the 102 handle as markets take a break in the US for Thanksgiving holidays. The kiwi is vulnerable to falling further below 0.6970 according to analysts at Westpac as markets remain optimistic that the Fed will hike in December, despite a vague set of FOMC minutes this week. Don't believe the hype, and get real: the Fed will not hike in December and here is why ...

NZD/USD levels

Spot is presently trading at 0.7003, and next resistance can be seen at 0.7008 (Daily Open), 0.7008 (Monthly Low), 0.7008 (Weekly Low), 0.7014 (Daily High) and 0.7028 (Daily Classic PP). Support below can be found at 0.7001 (Hourly 20 EMA), 0.6994 (Yesterday's Low), 0.6974 (Daily Classic S1), 0.6972 (Daily Low) and 0.6961 (Weekly Classic S1).

Watch video: NZD/USD short set up targetting 0.6860