NZD USD rushes to 8 day high
8/23/2016 8:00:21 AM
The NZD/USD pair kept its strong bid tone and is now building on to its gains above 0.7300 handle to currently trade at 8-day high around 0.7325 band. The major gained traction after RBNZ Governor Graeme Wheeler discarded expectations of rapid monetary reduction by the central bank. Wheeler added that acceleration interest rate cuts could be unmaintainable and more fuel already overheating property market. From current levels, August monthly high near 0.7335 level remains immediate barrier, which if conquered sets the stage for extension of the pair's near-term upward trajectory further towards 0.7395. A follow through buying interest abov0.7405 persistence should pave way more rising move for the pair in the near-term. In the meantime on the downside, previous strong persistence near 0.7280 region now seems to protect any weakness below 0.7300 handle. Any additional reduction below 0.7280 support area might now be bought into and hence, should be limited by support at 0.7240 level.