Published on May 1, 2023

Daily Analysis For NZD/USD 01-05-2023

NZD/USD Analysis

Economic Events and Scenario for NZD/USD

Economic Events : -

GMT	Event	Impact	Currency
00:00	(Australia) Judo Bank Manufacturing PMI	High	AUD
01:00	(Austria) Labor Day	None	EUR
01:00	(Belgium) Labor Day	None	EUR
01:00	(China) May Day	None	CNY
01:00	(Cyprus) Labor Day	None	EUR
01:00	(Ecuador) Labor Day	None	USD
01:00	(El Salvador) Labor Day	None	USD
01:00	(Estonia) Spring Day	None	EUR
01:00	(Euro Area) Labor Day	None	EUR
01:00	(Finland) May Day	None	EUR
01:00	(France) Labor Day	None	EUR
01:00	(Germany) Labor Day	None	EUR
01:00	(Greece) Labor Day	None	EUR
01:00	(Ireland) May Day	None	EUR
01:00	(Italy) Labor Day	None	EUR
01:00	(Latvia) Labor Day	None	EUR
01:00	(Lithuania) Labor Day	None	EUR
01:00	(Luxembourg) Labor Day	None	EUR
01:00	(Malta) Labor Day	None	EUR
01:00	(Montenegro) Labor day	None	EUR
01:00	(Portugal) Labor Day	None	EUR
01:00	(Spain) Labor Day	None	EUR
01:00	(United Kingdom) May Day Bank Holiday	None	GBP
01:30	(Japan) Jibun Bank Manufacturing PMI	Medium	JPY
02:00	(Australia) TD-MI Inflation Gauge MoM	Low	AUD
02:30	(Australia) ANZ-Indeed Job Ads MoM	Low	AUD
06:00	(Japan) Consumer Confidence	High	JPY
07:30	(Australia) Commodity Prices YoY	Low	AUD
09:00	(Switzerland) Myfxbook USDCHF Sentiment	Medium	CHF
09:00	(Australia) Myfxbook AUDUSD Sentiment	Medium	AUD
09:00	(Japan) Myfxbook USDJPY Sentiment	Medium	JPY
09:00	(European Union) Myfxbook EURUSD Sentiment	Medium	EUR
09:00	(United Kingdom) Myfxbook GBPUSD Sentiment	Medium	GBP
09:00	(Canada) Myfxbook USDCAD Sentiment	Medium	CAD
09:00	(New Zealand) Myfxbook NZDUSD Sentiment	Medium	NZD
14:30	(Canada) S&P Global Manufacturing PMI	High	CAD
14:45	(United States) S&P Global Manufacturing PMI	High	USD
15:00	(United States) ISM Manufacturing Prices	Low	USD
15:00	(United States) ISM Manufacturing New Orders	Low	USD
15:00	(United States) ISM Manufacturing Employment	Medium	USD
15:00	(United States) Construction Spending MoM	Low	USD
15:00	(United States) ISM Manufacturing PMI	High	USD
16:30	(United States) 3-Month Bill Auction	Low	USD
16:30	(United States) 6-Month Bill Auction	Low	USD

Today's Scenario: - NZD/USD is holding onto slight gains around 0.6180 in the face of a stronger US Dollar during early Monday trading. The Kiwi pair's recent gains could be attributed to positive domestic factors, such as the Reserve Bank of New Zealand's comments in support of rate hikes. Additionally, the prospect of a Free Trade Agreement (FTA) between New Zealand and the UK is boosting NZD/USD, as New Zealand Prime Minister Chris Hipkins recently announced plans to meet with UK counterpart Rishi Sunak to discuss the FTA. Hipkins estimated that the FTA could increase New Zealand's goods exports to the UK by over 50%, boost annual GDP by up to $1 billion, and save approximately $37 million per year in tariff elimination.

Buy Scenario: - The NZD/USD pair needs to avoid dropping below the support level at $0.6139 to aim for the First Major Resistance Level (R1) at $0.6203. If the pair breaks above Friday's high of $0.61872, it would indicate a bullish trend. However, the market risk sentiment must be supportive for a breakout session to occur.

If the Kiwi manages to break out, it could test the Second Major Resistance Level (R2) at $0.6227. The Third Major Resistance Level (R3) is located at $0.6290. Till we do not advise to buy NZD/USD.

Sell Scenario: - On the other hand, if the pair falls below the support level at $0.6139, it could target the First Major Support Level (S1) at $0.6139. However, unless there is a risk-off market event, the NZD/USD is likely to avoid dropping below the Second Major Support Level (S2) at $0.6100.

The Third Major Support Level (S3) sits at $0.6036. Till we do not advise to sell NZD/USD.

Support and Resistance Level: -