NZD/USD (current price: 0.6887)
The New Zealand Dollar has been strong in early trading and it’s now right around the strong support/resistance level of 0.687. The Australian NAB Business Confidence Index improved during the last two weeks, and that helped the Australian Dollar and the Kiwi as well today in early trading. Kiwi rose for the last two days after hitting 0.675, but remains in a narrow trading range following the strong downtrend that took the pair from 0.88 to 0.62 between the summer of 2014 and last September.
Our assessment: The Kiwi will likely head lower, maybe down to the short-term rising trend-line, after the bounce of the past few days.
