The strengthening of the New Zealand Dollar up to 0.8142 is explained by the fears of China’s economic slowdown and some positive data from the eurozone and UK, Michael Jones form the Bank of New Zealand assumes.
The future movement of NZDUSD will depend on the results of the Greek talks, Mike Hollows from HiFX said.
It is also necessary to pay attention to the Bank of New Zealand’s key interest rate decision, which will be made on Thursday. Analysts say that there is a 90% probability that the central bank will leave the interest rate unchanged, with a 10% probability of lowering it.
In the meantime, NZDUSD keeps implementing the scenario given in the outlook for Jan 15th 2012. According to the Department of Masterforex-V Trading System , the current upswing is sub-wave C inside upswing A/B of Weekly. The closest levels of resistance are 0.8189, 0.8227, 0.8236, 0.8278. The rally will be over as soon as the price breaks below the MF sloping channel and pivot 0.7992. (as shown below):
