Sep 15, 4:00 AM +05:00
VOT Research Desk
Technical Analytics
The second-quarter GDP growth rate for New Zealand exceeded expectations. The print had little effect on the Kiwi Dollar, with NDZ/USD holding onto minor overnight gains. The island country’s annual GDP growth was 0.4% as opposed to 1.0% in Q1, a decline. Following a 0.2% contraction in the first quarter, GDP increased 1.7% over the previous quarter.
Given that travel restrictions were in effect through August, the third quarter should provide a more accurate picture of the New Zealand economy. Rate speculators anticipate a 50-basis point increase from the Reserve Bank of New Zealand (RBNZ) next month.
Technical Examination:
NZD/USD is increasing, although the technical trend is still negative following significant losses.
Within 1% of its 2022 bottom, established yesterday at 0.5976, the NZD/USD is currently trading. Prices would be exposed to levels not traded since May 2020 if they broke through that level.
Prices are below their major moving averages, and this is a negative sign for the near term.
Before assaulting the 50-day Simple Moving Average, bulls would need to rally over the 26-day Exponential Moving Average (EMA) (SMA). The MACD and RSI oscillators, however, are moving lower than their respective midpoints. A trendline from January would be in danger if it broke below 0.5976.
