Antipodeans are known as commodity currencies. Here we will discuss all the fundamentals that for now Govern the market.
Last Week we saw some signals from RBA Governor and RBNZ Central Bank policy makers.
RBA: ” Need of Fiscal Support”
RBNZ: “Central Bank, possibility of Sub Zero rates”
As we all know that Australia is in recession for the first time in 29 years. Even though on Friday AUD setteled with 0.42% gain, Reason was the optimistic comments from Governor Lowe.”Will do all that’s needed to be done to generate jobs and pull market out of the deepest recession ever.”
New Zealand Dollar:
NZDUSD was under pressure due to the bond rally caused by promise made by RBNZ to extend bond purchases. The other issue discussed was sub zero rates.
NZD held its OCR @ 0.25% and decided to expand Large Scale Asset Purchase(LSAP).
NZDUSD D1 Chart formed a Double Top and is in confluence with the fundamentals yet to be bearish the key level of previous Resistance and current support must be breached with a break below close below candle. The neck line sits at 0.6531.Price is below the Monthly Pivot and now stalls at R1 of Quarter Pivot. A major support level.
Source “TASK SOLUTIONS (PVT) LTD”