New Zealander is under pressure

The New Zealand dollar appreciably weakened at the beginning of the day during relatively quiet trading. The reason for the decline in the NZD/USD pair was the statement of the Prime Minister of New Zealand, Jacinda Ardern, who spoke in favor of reforming the RBNZ. Also, there was an intention to raise the level of the minimum wage during the speech.

As a result, the NZD/USD pair declined markedly at the beginning of the day, breaking off from the psychology of 0.7000 and remaining below the level of 0.6980 (Fibo 78.6 from the May’s low). The preservation of a downward trend in this pair is largely due to the persistence of political risks in New Zealand. The level of 0.6970-30 remains as a significant support, from which both the formation of a correction and the continuation of a downward trend are possible. In the case of fixing the pair below 0.6930, one should expect further decline to the levels of 0.6870 and 0.6820-00.

More information about the market: https://esterholdings.com/en/category/mneniya-ekspertov/

Hanzenko Anton