Refer a friend

The price of the NZDUSD dropped significantly, but what caused the drop and what could happen next?

Watch the video to learn more…


Daily Price Action

NZDUSD daily timeframe

The price of the NZDUSD dropped as rumours of a halt to a rate hike was headlined after New Zealand entered into a nationwide lockdown. A spike in new Covid 19 cases forced the New Zealand Government into action and this has caused investors to think that a rate hike tomorrow is off the table. 

Price of the NZDUSD turned bearish from the open and continued to be bearish throughout the day reaching the previous range lows. 

In our previous week ahead analysis video we discussed the potential for a reversal and a move higher if the price could sustain above the major 0.7100 level. This outlook doesn’t look likely now.

Weekly Support

nzdusd weekly

The price is currently resting on major weekly support, if the price was to break the range and close below we could see a continuation of the bearish sentiment. 

The next weekly support zone is over 200 pips away offering some short opportunities in the near future. 

Enjoy low spreads and quick trade executions with a live account. Our highly committed customer support team will assist you from your quick account setup to any future concerns. Start trading with Blueberry Markets today.

About The Author

Join us on Telegram
and get real-time
alerts on
Indices, Gold, Crypto
and Share CFDs

Join now for free
telegram cta
bbjam graphic

Sign up to
Blueberry Jam

Back up your trade positions with insights
and how-to-guides, straight to your
inbox every week

Thank you. You have successfully subscribed to Blueberry Jam!