NZDUSD Analysis: Deteriorating New Zealand data bearish for NZDUSD

September 25, 2020

By IFCMarkets.com

Deteriorating New Zealand data bearish for NZDUSD

New Zealand’s economic data in the last couple of weeks were weak. Visitor arrivals continued to drop in July at unchanged pace, the services sector expansion stopped in August and manufacturing sector expansion almost stopped, while the trade surplus turned into deficit in August. Thus, visitor arrivals dropped 98.5% over year in July after 98.4% drop in previous month. The Business NZ Performance of Services Index fell to 46.9 in August from 54.4 in the previous month, and the Business NZ Performance of Manufacturing Index dropped to 50.7 in August from 59 in July. At the same time the balance of trade surplus of N$447 million in July turned into a deficit of N$353 million in August. Weak New Zealand economic data are bearish for NZDUSD.

Indicator VALUE Signal
RSI Neutral
MACD Sell
Donchian Channel Neutral
MA(200) Buy
Fractals Neutral
Parabolic SAR Sell

 

Summary of technical analysis

Order Sell
Buy stop Below 0.651
Stop loss Above 0.6796

Market Analysis provided by IFCMarkets.com

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