NZD/USD capitalizing on softer Greenback, pushing into 0.5850
- The NZD/USD is seeing a rebound amidst a broad-market US Dollar selloff.
- Market risk appetite saw a resurgence on Monday.
- Early Tuesday sees China data, which could bolster Antipodeans.
The NZD/USD is seeing its best trading day in a month, climbing from an eleven-month low into 0.5850 for Monday.
Late Tuesday sees New Zealand unemployment rate, followed by a speech from Reserve Bank of New Zealand (RBNZ) Governor Adrian Orr.
Before that, China's October Manufacturing Purchasing Managers' Index (PMI) is expected to print in expansion territory for the second month in a row, forecast to come in at 50.2. The Non-Manufacturing sector PMI is likewise expected to improve from 51.7 to 51.8.
On the Greenback side, USD traders will be looking ahead to the midweek's Federal Reserve (Fed) rate call.
NZD/USD Technical Outlook
The Kiwi's Monday lift into 0.5850 still sees the NZD/USD woefully beaten into bear country on the daily candlesticks, with the pair trading well lower against the last swing high into 0.6050, with prices continuing to decline against the 50-day Simple Moving Average (SMA) currently declining towards 0.5900.
Long-term, the 200-day SMA is turning increasingly bearish, accelerating into chart territory south of 0.6150, and a downside continuation for the Kiwi will see the pair setting new lows for the year and testing bids not seen since October of 2022.
NZD/USD Daily Chart
NZD/USD Technical Levels