NZD/USD flirts with 2-week tops post-solid China data dump

The NZD bulls cheer upbeat Chinese economic releases amid holiday-thinned markets, keeping NZD/USD strongly on the bids near two-week highs posted last hour at 0.7033.

The Kiwi extends its winning streak for the fourth straight session as the US dollar continues to remain under pressure across the board, in the wake of Trump’s jawboning and rising geopolitical tensions, which boost the demand for safe-havens such as yen, gold etc.

Moreover, weaker treasury yields also boost the attractiveness of the NZD, as an alternative higher-yielding emerging market currency.  However, the bulls are seen struggling to extend the upside over the last hours, as tumbling oil prices and thin markets failed to lift the momentum in the NZD/USD pair. Most major world markets are closed in observance of Easter Monday.

With the Chinese dataflow out of the way, focus now shifts towards the US second-tier data in the Empire state manufacturing index and NAHB housing index for fresh incentives on the prices.

NZD/USD Levels to consider                                                                              

To the upside, the next resistance is located at 7050 (psychological levels), above which it could extend gains to 0.7075 (100-DMA/ key resistance) and from there to 0.7075/78 (key resistance/ 100-DMA). To the downside immediate support might be located at 0.6978 (10-DMA), and from there to 0.6907/00 (Mar 15 low/ zero figure), below 0.6887 (Mar 9 low) would be tested.