FX.co ★ NZD/USD: imminent breakdown

The NZD/USD pair is located at 0.6040 at the time of writing. It has turned to the downside after reaching 0.6063 today's high. In the short term, the bias remains bullish as the Dollar Index remains under strong downside pressure despite the current rebound.

Today, the New Zealand retail sales data could be decisive. The Retail Sales may announce 0.8% drop versus 1.0% drop in the previous reporting period, while Core Retail Sales is expected to announce 1.5% drop. Poor economic data could weaken the NZD.

Tomorrow, the US manufacturing and services data and the Canadian retail sales should have a big impact on the USD.

NZD/USD Retested The Sellers!

Technically, the bias remains bullish as long as it stays above the lower median line (LML) of the ascending pitchfork.

The former high of 0.6060 stands as a static resistance, while the immediate low of 0.6032 is seen as a key support.

NZD/USD Forecast!

A new higher high, jumping and closing above 0.6060 activates further growth and brings new longs.

Dropping and closing below the lower median line (LML) and under 0.6032 opens the door for a downwards movement. This is seen as a selling opportunity.