- The NZD/USD pair rose near the 0.6090 zone after two days of losses.
- US services PMIs were not very encouraging and jobless claims rose slightly in late July.
- All eyes are now on Friday’s NFP.
On Thursday, the bulls of the NZD/USD they stepped in and pushed prices close to the 0.6090 area. Meanwhile, investors digest new US mid-level economic data ahead of Friday’s expected Non-Farm Payrolls (NFP).
The US service sector showed weakness in July. The S&P Index came in at 52.3, below consensus and previous figures of 52.4, while the Institute for Supply Management (ISM) came in at 52.7, below 53 expected and 53.9 previously. Labor market data showed a slight rise in jobless claims to 227,000 at the end of July, as expected. Second quarter unit labor costs increased by 1.6%, below the 2.6% forecast and 3.3% previously.
Overall, the services sector appears resilient, while the labor market sent mixed signals during the week. Friday’s Non-Farm Payrolls (NFP) will give investors a clearer outlook on the sector, along with wage inflation and unemployment numbers.
Following the data, the DXY pared daily gains, which saw the index peak at 102.83 and then settle at 102.57, oscillating between small gains and losses.
technical levels
With the Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD) sitting comfortably in negative territory on the daily chart, NZD/USD sellers are in the lead. Furthermore, the pair is below the 20,100 and 200-day simple moving averages (SMAs), indicating difficult positioning for buyers in the bigger picture, as bears remain in command.
Support levels: 0.6060, 0.6050, 0.6035
Resistance levels: 0.6100, 0.6130, 0.6150
NZD/USD Daily Chart
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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.
