- Kiwi lifted by Chinese trade balance beat, but gains remain limited.
- Card sales at the retail level due later at 21:45 GMT< bulls will be hoping for a clean beat.
The NZD/USD is trying hard to push for the 0.7300 handle in Tokyo trading, but selling pressure remains high and the pair is still stuck within Wednesday’s consolidation, currently testing back into the 0.7280 area.
The Kiwi bumped slightly higher on positive trade data from China that showed China’s trade surplus with the US widen to 33.74B (in USD terms), over and above the previous reading of 20.34B, and a wide beat over the -5.7B forecast.
Mid-tier Electronic Card Sales figures for February at 21:45 GMT is all that remains on today’s docket for the NZD, with month-on-month numbers forecast at just 0.1%, a steep retraction from the previous month’s 1.4%. The NZD/USD has already walked back the gains from Chinese trade figures, as a strong bearish bias remains in place on the Kiwi, and further gains will remain difficult as the New Zealand economy struggles with growth amidst middling macro data and the Reserve Bank of New Zealand (RBNZ) stuck in a holding pattern on interest rates as NZ’s growth prospects continue to lag well behind global inflation trends.
The Kiwi has been struggling to make headway against the US Dollar for the entire month of February, and that trend looks set to continue as the pair waffles around the 34 EMA on Daily candles, while the H4 chart shows the pair struggling to price in higher lows amidst steep resistance, with quick rounds of buying unable to hold ground against protracted periods of selling power. Intraday support can be found at 0.7265 and 0.7255, with resistance at 0.7310 and 0.7345.