International news makes investors go risk-averse. Such a change in the overall sentiment starts pressing the New Zealand Dollar. At the same time, according to Chris Hunter from Western Union Business Solutions, the current economic situation in New Zealand lowers the risk of interest rate cuts.
Despite weaker retail sales and higher unemployment, the country’s manufacturing sector seems to become stronger. October’s readings show that the index grew from 48.2 up to 50.5.
Still, external news is the major driver for the Kiwi at this point.
Forex.
According to , the New Zealand Dollar keeps weakening against the US Dollar. The experts report that NZDUSD is forming wave А(С)/С inside a bigger-scale downswing represented by wave А(С)/С of level Daily.
A break below 0.8051 will continue the downtrend. The closest levels of support are 0.8039, 0.8002. The current bearish move will be completed as soon as the price overcomes the top of the MF sloping channel and consolidates above 0.8180 (as shown below).
