The New Zealand Dollar has been under pressure ever since the Prime Minister John Kay said the national currency was oversold. At this point, the NZ government is looking for the ways to curb the strengthening of NZD.
According to Sue Trinh, currency strategist at RBC Capital, the New Zealand currency is under psychological pressure. She also anticipates risks connected with today’s inflation report. Experts anticipate a 0.5% increase in Q1 2012.
Forex.
According to , NZDUSD keeps retracing against the long-term rally. So far, the currency pair has finished forming wave А/В of Daily. At this point, the price is forming a downswing - wave А/В of wave level Н8 or higher. The closest major levels of support are located at 0.8119 and 0.8058. The downswing will be completed as soon as the price breaks above the top of the MF sloping channel and pivot 0.8234 (as shown below):
