- NZD/USD trades lower as Kiwi tests 11-month lows against the Dollar.
- The New Zealand trade balance figures had little impact, as there were hardly any changes, neither for better nor worse.
- On Monday, New Zealand’s Labor Day holiday, kiwi traders will focus on Tuesday’s US PMI release.
The NZD/USD pair is testing the waters near 0.5830, trading flat for Friday and sticking to the near-term lower end. Thursday’s New Zealand trade balance figures did little to spark faith in the NZD, while broader markets continue to focus on Federal Reserve (Fed) talking points.
New Zealand’s trade balance showed little change in the small antipodean nation’s import and export balance, with an annualized September trade balance of $15.33 billion compared to $15.52 billion in August.
New Zealand’s trade balance stood at -$15.33 billion in September, down from $15.52 billion previously.
New Zealand exports fell to $4.87 billion, while the previous figure was revised slightly downward to $4.99 billion from $4.99 billion previously. New Zealand imports also recorded a decline along with a revision; September New Zealand imports stood at $7.2 billion compared to $7.24 billion in August (revised from $7.28 billion).
New Zealand will take a long weekend for the Labor Day holiday, and the next important data for the N ZD/USD pair will be Tuesday’s reading of the preliminary US Purchasing Managers’ Index (PMI) for September, where markets predict a slight decline in both manufacturing and services components.
NZD/USD Technical Outlook
The Kiwi remains firmly entrenched at yearly lows against the US Dollar after seeing a rejection of the 50-day SMA near 0.5950, and a bearish 200-day SMA is rolling lower to provide technical resistance to the mid-term. term from 0.6150.
With NZD/USD trading at new 2023 lows, bearish technical support remains scarce, and a bearish extension could pave the way for an eventual challenge of the 2022 lows near the 0.5500 zone.
NZD/USD Daily Chart
NZD/USD technical levels
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
