Published on Apr 18, 2023

Daily Analysis For NZD/USD 18-04-2023

NZD/USD Analysis

Economic Events and Scenario for NZD/USD

Economic Events : -

GMT	Event	Impact	Currency
01:00	(Cyprus) Orthodox Easter Tuesday	None	EUR
02:30	(Australia) RBA Meeting Minutes	High	AUD
03:00	(China) Industrial Capacity Utilization	Low	CNY
03:00	(China) Retail Sales YoY	High	CNY
03:00	(China) Industrial Production YoY	High	CNY
03:00	(China) Fixed Asset Investment (YTD) YoY	Medium	CNY
03:00	(China) GDP Growth Rate YoY	High	CNY
03:00	(China) GDP Growth Rate QoQ	Medium	CNY
03:00	(China) Unemployment Rate	High	CNY
07:00	(United Kingdom) Average Earnings excl. Bonus (3Mo/Yr)	Low	GBP
07:00	(United Kingdom) Average Earnings incl. Bonus (3Mo/Yr)	Medium	GBP
07:00	(United Kingdom) Unemployment Rate	High	GBP
07:00	(United Kingdom) Claimant Count Change	High	GBP
07:00	(United Kingdom) Employment Change	High	GBP
07:00	(United Kingdom) HMRC Payrolls Change	Low	GBP
09:00	(Italy) Balance of Trade	Medium	EUR
09:40	(Spain) 3-Month Letras Auction	Low	EUR
10:00	(China) FDI (YTD) YoY	Medium	CNY
10:00	(Euro Area) ZEW Economic Sentiment Index	Medium	EUR
10:00	(Euro Area) Balance of Trade	Medium	EUR
10:00	(Germany) ZEW Current Conditions	Low	EUR
10:00	(Germany) ZEW Economic Sentiment Index	High	EUR
10:00	(United Kingdom) 30-Year Treasury Gilt Auction	Low	GBP
11:00	(Ireland) Balance of Trade	Low	EUR
13:30	(Canada) New Motor Vehicle Sales	Low	CAD
13:30	(Canada) Inflation Rate MoM	Medium	CAD
13:30	(Canada) Core Inflation Rate YoY	Medium	CAD
13:30	(Canada) Inflation Rate YoY	High	CAD
13:30	(Canada) Core Inflation Rate MoM	Low	CAD
13:30	(Canada) CPI Median YoY	High	CAD
13:30	(Canada) CPI Trimmed-Mean YoY	High	CAD
13:30	(United States) Housing Starts	Medium	USD
13:30	(United States) Building Permits	High	USD
13:30	(United States) Housing Starts MoM	Medium	USD
13:30	(United States) Building Permits MoM	Medium	USD
13:55	(United States) Redbook YoY	Low	USD
14:00	(Ecuador) Balance of Trade	Low	USD
14:00	(Euro Area) ECB Elderson Speech	Low	EUR
16:00	(New Zealand) Global Dairy Trade Price Index	Low	NZD
16:30	(United States) 52-Week Bill Auction	Low	USD
18:00	(United States) Fed Bowman Speech	Medium	USD
21:30	(United States) API Crude Oil Stock Change	Medium	USD

Today's Scenario: - During the Asian session, the NZD/USD pair is showing signs of strengthening as it seeks to extend its recovery above the 0.6186 level. Following a dip to near 0.6160, the Kiwi asset regained its footing, as the US Dollar Index (DXY) experienced a gradual correction. However, the New Zealand Dollar remains on edge, as investors are eagerly anticipating the release of China's Q1 Gross Domestic Product (GDP) data, which is likely to impact the currency's performance.

Buy Scenario: - To extend its recovery, the NZD/USD pair needs to surpass the pivot level of $0.6185 and aim for the First Major Resistance Level (R1) at $0.6208, followed by the Monday high of $0.62117. A move towards $0.6210 would indicate a bullish session, but this will depend on the upcoming economic data from China.

If the Kiwi manages to break out, it may test the Second Major Resistance Level (R2) at $0.6235 and resistance at $0.6250. The Third Major Resistance Level (R3) is at $0.6286. Till we do not advise to buy NZD/USD.

Sell Scenario: - On the downside, if the pair fails to move through the pivot, it may find support at the First Major Support Level (S1) at $0.6157. Unless there is negative data, it should avoid dropping below $0.6130, with the Second Major Support Level (S2) at $0.6134 likely to limit the downside. The Third Major Support Level (S3) is at $0.6084. Till we do not advise to sell NZD/USD.

Support and Resistance Level: -