Short-term NZD/USD Likely Keeps Momentum to UpsideBy: Eddy Peng Jun 5, 2018
Chart 1: NZD/USD DailyBack to look at the DXY’s daily chart, we could find the negative RSI divergence is present and shows that momentum to the upside is ebbing, supporting NZD/USD to rise further over the short term, a prediction that I have made in the last paragraph. Besides, the DXY has been struggling below 38.2% Fibonacci retracement for a couple of days, meaning that the resistance ahead is quite tough and the greenback likely retreats later to find support near 93.214. All in all, we don’t see that the DXY will remain uptrend this week, but the long-term upswing will probably continue based on the robust economic performance in the U.S., so then it may keep NZD/USD under pressure.
Chart 2: USD Index Daily