Investing.com - Financial Markets Worldwide
Get 40% Off
Get 40% Off
👀 👁 🧿 All eyes on Biogen, up +4,56% after posting earnings. Our AI picked it in March 2024.
Which stocks will surge next?
Unlock AI-picked Stocks

Kiwi At Resistance Ahead of RBNZ Rate Decision

ByGregor Horvat
Published 05/23/2023, 04:19 AM
Updated 07/09/2023, 06:31 AM

Markets are slow and sideways even after EU PMI data which was mixed when comparing German and French numbers, but most important will be the US PMI later today at 15:45 CET. Technically nothing has changed, the US Dollar Index Futures are still consolidating within intraday recovery, now seen in wave four from where we expect a bounce but will need a catalyst which will have to wait longer it seems, as US President Joe Biden and House Speaker Kevin McCarthy failed to reach an agreement on raising the debt ceiling. However, I think that USD will be trading higher this week still and potentially cause more weakness on currencies that have bearish EW setups.
Looking at kiwi we can see it in a minor recovery ahead of RBNZ decision tomorrow when speculators expected another 25bp increase. However, last time they raised more than expected kiwi fell anyway, so I am afraid that there are not a lot of buyers this time, since I doubt there will be any new surprises. From an Elliott wave perspective, I see bearish price action, looking for further weakness after a sharp drop from 0.6380 followed now by only a-b-c rise. That's a very strong technical bearish pattern that can cause a drop back to 0.6180 while the market trades below 0.638.

Grega

Latest comments

Install Our App
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.