NZD/JPY posts fresh session highs

FXStreet (Mumbai) - NZD/JPY edged higher in the mid-Asian session, snapping losses from the previous session largely on New Zealand dollar strength back by better than expected China data.

NZD/JPY trades around 5-DMA

Currently, the NZD/JPY cross trades higher by -0.29% at 89.37 levels, hovering close to session highs posted at 89.43 levels few minutes ago. NZD/JPY advanced as the New Zealand dollar regained strength versus the Japanese yen after Chinese factory activity saw an unexpected turnaround and came in at a four month high, which boosted the Kiwi.

However, the gains in the cross are likely to be restricted on a stronger yen versus the US dollar as the Fed Chair Yellen testimony failed to lift the greenback. Moreover, the cross remains supported so long as it holds above the 200-DMA located at 88.76.

NZD/JPY Levels to consider

To the upside, the next resistance is located at 89.58 (50-DMA) levels and above which it could extend gains to at 89.90 levels. To the downside immediate support might be located at 89 levels below that at 88.76 (200-DMA) levels.

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