NZDUSD Analysis 30.11.2018

The New Zealand dollar fluctuated in a narrow range inclined during the Asian session as it resumed its weekly gains against the US dollar following developments and economic data that followed on the New Zealand economy and on the eve of developments and economic data expected Friday by the US economy, the largest economy in the world, Federal Reserve Bank of New York Chairman John Williams in New York.

At 3:47 am GMT, the New Zealand dollar was up 0.10% at 0.6867, compared with the opening levels at 0.6861 after the pair hit a session high of 0.6875, while the pair reached a low of 0.6856.

On the New Zealand economy, the housing market data was released with a reading of building permits, which showed a 1.5% rise from a 1.3% drop in September, before we saw the Governor of the Reserve Bank of New Zealand, Adrienne Ur, Business in Auckland.

On the other hand, investors are looking forward to the outcome of the participation of FOMC member and Federal Reserve Bank of New York Chairman John Williams in a panel discussion entitled "The Global Economy: Addressing the Future Slowdown" at the 80th plenary meeting of the Thirtieth Group. Chicago Purchasing Managers, which may reflect a widening to 58.6 versus 58.4 last October.

This came hours after the Federal Reserve unveiled Thursday the minutes of the Federal Open Market Committee meeting held on November 7 and 8 that there was a close increase in federal funds rates and that monetary policy makers in the Federal Reserve had discussed On the timing of a moratorium on future interest rate increases.

Following Federal Reserve Governor Jerome Powell's speech at the New York State Economic Forum last Wednesday under the headline "Federal Reserve Framework for Financial Stability Control", federal funds are "slightly less" than neutrality, which has been priced in the markets as " A possible moderation in the pace of tightening monetary policy by monetary policy makers at the Fed.

Technical analysis:

The NZDUSD continues to fluctuate near the neckline of the upside-down head and shoulders pattern shown in the chart above, and the price needs to breach 0.6885 to get a strong incentive to support the bullishness over intraday and short term, where our next target is at 0.7024.

Therefore, the bullish trend will remain valid for the coming period unless the level of 0.6795 is broken and stability below it.

The trading range for today is expected among the support at 0.6800 and resistance at 0.6950.

Support and resistance:

Support: 0.6800-0.6716-0.6648;

Resistance: 0.2902-0.6955-0.7015.

The general trend for today is bullish.