NZD/USD Approaches Key Resistance as GDP Growth in New Zealand Set to Accelerate

NZD/USD – Technical Analysis for Forex Trading & CFDs.

United States – Retail Sales

On Wednesday, at GMT 12:30 p.m., the US Census Bureau will release the national month-over-month retail sales figure. It measures the changes in the total value of all sales made at the retail level in the country over the past month.

Retail sales data are considered by Forex investors to be the primary gauge of consumer spending and confidence. This is because when consumers are confident about their future financial situation, they tend to spend more.

Last month, the US retail sales value decreased by -0.3%. Analysts are expecting that this month, it would likely increase by 0.3%.

New Zealand – Gross Domestic Product (GDP)

On Thursday, at GMT 9:30 p.m., the Statistics New Zealand will release the quarter-over-quarter GDP. It measures the changes in the inflation adjusted value of all products and service made in the country over the past quarter.

The GDP measures the overall productivity in the economy. It acts as a leading indicator of the economic growth in the country. Hence, Forex traders consider the New Zealand’s GDP (q/q) to be an important indicator of the health of the economy.

Last quarter, the New Zealand’s GDP came out at 0.6% growth. Analysts are expecting it to grow by 0.8% this quarter.

NZD/USD Forecast

After breaking below the uptrend line on January 29, the NZD/USD traded sideways between the support near 0.7200 and the resistance around 0.7335 levels. Last week, the NZD/USD once again bounced from the support near 0.7200. Currently, it is approaching the resistance around 0.7335.

The New Zealand’s GDP last quarter is set to increase by 0.8%. On the other hand, analysts are expecting the US retail sales to increase from -0.3% to 0.3% this month. While the US retail sales could rebound, it is unlikely. We believe unless the US retail sales meets the estimate, it would set a bullish fundamental outlook for the NZD/USD this week. Therefore, if the NZD/USD closes above the resistance near 0.7335, it would likely attract additional bullish momentum in the market.

Hence, Australian Forex traders should look out for trading opportunities above this major resistance level around 0.7335.

BTC/AUD Forecast

As the BTC/USD fell towards the 11,000 level, it found a strong support. However, in the last few weeks, the BTC/USD started a bullish retracement and broke above the downtrend line. But, it soon started trading sideways between the 11,000 and 12,000 levels. Currently, it is trading just below the resistance around 12,000.

The Japanese Financial Services Agency (FSA) suspended two cryptocurrency exchanges in the country for failing to protect customer interests. However, we believe it will not have any major global implication for the bitcoin price as the matter is purely domestic regulation. Given the strong bullish momentum of bitcoin, if the AUD/BTC breaks above the 12,000 level, it will open up possibility to reach the next resistance around 14,000.

Hence, Australian bitcoin traders should look out for trading opportunities above this major resistance level around 12,000.

Asif worked as a prop trader for almost a decade, and later he managed trading operations for one of the largest foreign exchange strategy developers in Europe. Currently, he works as a trading consultant to several brokers and writes about various tech and financial topics. You can reach him at contact@asifimtiaz.com

LinkedIn Google+ 

Asif Imtiaz

Asif worked as a prop trader for almost a decade, and later he managed trading operations for one of the largest foreign exchange strategy developers in Europe. Currently, he works as a trading consultant to several brokers and writes about various tech and financial topics. You can reach him at contact@asifimtiaz.com

Leave a Comment

Risk Warning: Trading in Financial instruments always involves substantial risk of loss and it´s not recommended for all investors or traders ( visit ASIC’s consumer website at www.fido.gov.au for general guidance about investing).
Before deciding to trade foreign exchange you should carefully consider your investment objectives, your experience and risk propensity.
You need to know there is a chance that you can lost some or all of your initial investment therefore you should avoid to invest money that you cannot afford to lose. Read Full Disclaimer

About Us - Sitemap - Contact Us - Disclaimer- Terms & Conditions
DMCA.com Protection Status

© Copyright 2016. All Rights Reserved. Forex Trading.auz.net - Australia Forex Trading Brokers -
ForexTrading.auz.net is owned and operated by Clicking Media Ltd ( company registered in England and Wales, UK )
Australia Office : Level 33, Australia Square, 264 George Street, Sydney, NSW 2000, Australia .
X

Risk Warning: Trading in financial instruments always involves substantial risk of loss and can result in losses that exceed your initial deposit, and it's not suitable for all investors or traders. Read Full Disclaimer

¤