NZD/USD has been quite bearish in nature but currently, it is showing some bullish intervention denoting certain retracement in the pair. Though NZD spending has been decreased a bit according to the recent economic reports but the Trade Balance showed better than expected which did help in some growth today. Recently NZD Trade Balance was published at 85M which was previously at 246M but it was expected to be negative at -200M. On the other hand, today’s USD Core Durable Goods Orders report is going to be published which is expected to increase to 0.4% from the previous value of 0.1% and Durable Goods Orders is expected to be negative at -0.6% from the previous value of 6.4%. Along with these economic reports, FED Chair Yellen is going to speak today about the nation’s interest rate decision and monetary policy which is expected to be hawkish in nature. To sum up, NZD has been recently heavily dominated by USD which is expected to continue further but NZD do seem to show some gain for the short-term due to positive trade balance report but the bearish trend is expected to continue further.
Now let us look at the technical view, the price is currently showing some bullish pressure which is expected to reach towards the dynamic level of 20 EMA before proceeding with the bearish trend. If the price rejects off the 20 EMA with a daily close then we will be looking forward to the price reaching the 0.7050 support level. As the price remains below the resistance area of 0.7370-0.7460 the bearish bias is expected to continue further.