Published on Apr 25, 2023

Daily Analysis For NZD/USD 25-04-2023

NZD/USD Analysis

Economic Events and Scenario for NZD/USD

Economic Events : -

GMT	Event	Impact	Currency
01:00	(Australia) ANZAC Day	None	AUD
01:00	(Italy) Liberation Day	None	EUR
01:00	(New Zealand) ANZAC Day	None	NZD
01:00	(Portugal) Liberty Day	None	EUR
03:45	(East Timor) Inflation Rate MoM	Low	USD
03:45	(East Timor) Inflation Rate YoY	Low	USD
07:00	(Switzerland) Balance of Trade	Medium	CHF
07:00	(United Kingdom) Public Sector Net Borrowing	Low	GBP
07:00	(United Kingdom) Public Sector Net Borrowing Ex Banks	Low	GBP
08:00	(Spain) PPI YoY	Low	EUR
09:00	(Euro Area) ECB Enria Speech	Low	EUR
09:30	(Slovenia) Tourist Arrivals YoY	Low	EUR
10:00	(United Kingdom) BoE Member Broadbent	Low	GBP
10:30	(Germany) 2-Year Schatz Auction	Low	EUR
11:00	(Latvia) PPI MoM	Low	EUR
11:00	(Latvia) PPI YoY	Low	EUR
11:00	(Luxembourg) Balance of Trade	Low	EUR
11:00	(United Kingdom) CBI Industrial Trends Orders	Medium	GBP
11:00	(United Kingdom) CBI Business Optimism Index	Medium	GBP
13:00	(United States) Building Permits	Medium	USD
13:00	(United States) Building Permits MoM	Low	USD
13:55	(United States) Redbook YoY	Low	USD
14:00	(United States) House Price Index	Low	USD
14:00	(United States) House Price Index YoY	Low	USD
14:00	(United States) House Price Index MoM	Low	USD
14:00	(United States) S&P/Case-Shiller Home Price MoM	Medium	USD
14:00	(United States) S&P/Case-Shiller Home Price YoY	Medium	USD
15:00	(United States) Richmond Fed Manufacturing Shipments Index	Low	USD
15:00	(United States) CB Consumer Confidence	Medium	USD
15:00	(United States) Richmond Fed Services Index	Low	USD
15:00	(United States) Richmond Fed Manufacturing Index	Low	USD
15:00	(United States) New Home Sales	High	USD
15:00	(United States) New Home Sales MoM	High	USD
15:30	(United States) Dallas Fed Services Revenues Index	Low	USD
15:30	(United States) Dallas Fed Services Index	Low	USD
15:30	(United States) NY Fed Treasury Purchases 4.5 to 7 yrs	Low	USD
18:00	(United States) 2-Year Note Auction	Low	USD
21:30	(United States) API Crude Oil Stock Change	Medium	USD
23:45	(New Zealand) Imports	Low	NZD
23:45	(New Zealand) Exports	Low	NZD
23:45	(New Zealand) Balance of Trade	Medium	NZD

Today's Scenario: - During the Asian session, the NZD/USD pair has experienced a significant increase after breaking above the 0.6150 level. This bullish movement can be attributed to a sell-off in the US Dollar Index (DXY), which has been declining and approaching 101.20. This is due to expectations that the Federal Reserve (Fed) will pause its rate-hiking cycle after raising rates by 25 basis points (bp) in May.

Buy Scenario: - The NZD/USD pair is expected to see significant movement following the release of Trade Balance data on Wednesday.

Currently, the Kiwi asset is in a bullish phase after breaking out above 0.6150 on an hourly basis. The 20-period Exponential Moving Average (EMA) is providing support to the bulls at 0.6158.

The Relative Strength Index (RSI) (14) is in the bullish range of 60.00-80.00, indicating active upside momentum.

If the pair experiences a healthy correction to near the 10-EMA at 0.6165, a buying opportunity may emerge, driving the Kiwi asset toward the resistance level at 0.6200. A break above this level could lead to a fresh weekly high above the April 19 high at 0.6227. Till we do not advise to buy NZD/USD.

Sell Scenario: - On the other hand, a breakdown below the April 20 low at 0.6148 could send the asset towards the April 24 low at 0.6125 and the round-level support at 0.6100. Till we do not advise to sell NZD/USD.

Support and Resistance Level: -