6 Jan 2015
NZD/USD climbs on China’s Stimulus Package in Projects
FXStreet (Mumbai) - The New Zealand dollar trades edged higher against the US counterpart in the Asian morning, reversing losses from the previous session, backed by China’s stimulus measures to spur growth.
Currently, the NZD/USD trades at 0.7728, up 0.55% on the day, having hit day’s high at 0.7746 levels an hour ago. The NZD/USD pair gained upward momentum after the Chinese government announced accelerating 300 infrastructure projects valued at 7 trillion Yuan (USD 1.1 trillion) this year in an effort to lift the country’s growth, reinforcing need for additional monetary stimulus measures amid slowing manufacturing activity and cooling property markets.
Moreover, upbeat Chinese Services PMI reading which grew at its fastest pace in three months in December added to the gains in the Kiwi pair.
NZD/USD Technical Levels
To the upside, the next resistance is located at 0.7759 (Dec 23 High) and above which it could extend gains to 0.7778 (Dec 26 High) levels. To the downside, immediate support might be located at 0.7690 (Dec 23 Low) levels and below that at sub 0.7620 levels.
Currently, the NZD/USD trades at 0.7728, up 0.55% on the day, having hit day’s high at 0.7746 levels an hour ago. The NZD/USD pair gained upward momentum after the Chinese government announced accelerating 300 infrastructure projects valued at 7 trillion Yuan (USD 1.1 trillion) this year in an effort to lift the country’s growth, reinforcing need for additional monetary stimulus measures amid slowing manufacturing activity and cooling property markets.
Moreover, upbeat Chinese Services PMI reading which grew at its fastest pace in three months in December added to the gains in the Kiwi pair.
NZD/USD Technical Levels
To the upside, the next resistance is located at 0.7759 (Dec 23 High) and above which it could extend gains to 0.7778 (Dec 26 High) levels. To the downside, immediate support might be located at 0.7690 (Dec 23 Low) levels and below that at sub 0.7620 levels.