30 Aug 2013
NZD/USD moves upwards with or without Syria
FXstreet.com (Athens) -The NZD/USD is trading upwards, as despite sounding bizarre, recent historical experience suggests that positioning for NZD outperformance makes sense in this risky environment.
Traders might take a look upon at the correlation of the NZD/USD with risky environments
The NZD/USD is trading on the upper level since the opening of the Asian’s trading session on Friday. While many traders might find a bit weird the fact that while war in Syria seems imminent, TD Securites analysts suggest that ‘The idea that an imminent attack on Syria could be good for a ‘risk currency’ such as the NZD may sound like a contradiction, but recent historical experience suggests that positioning for NZD outperformance makes sense in this environment’. What’s more, NZD building permits fell by –0.8% in Jul (prior –4.3%) ,but there is still a trend surge in construction. Last but not least, excluding apartments, approvals rose by 3.1%.
Technical outlook on NZD/USD
At the time of writing, the pair is trading at 0.7781 area, up 0.17%, The FXstreet.com Trend Index shows the pair to be strongly bullish. Daily pivot point support can be found at 0.7733, 0.7713, 0.7694 and resistance at 0.7831, 0.7850 and 0.7870, respectively
Traders might take a look upon at the correlation of the NZD/USD with risky environments
The NZD/USD is trading on the upper level since the opening of the Asian’s trading session on Friday. While many traders might find a bit weird the fact that while war in Syria seems imminent, TD Securites analysts suggest that ‘The idea that an imminent attack on Syria could be good for a ‘risk currency’ such as the NZD may sound like a contradiction, but recent historical experience suggests that positioning for NZD outperformance makes sense in this environment’. What’s more, NZD building permits fell by –0.8% in Jul (prior –4.3%) ,but there is still a trend surge in construction. Last but not least, excluding apartments, approvals rose by 3.1%.
Technical outlook on NZD/USD
At the time of writing, the pair is trading at 0.7781 area, up 0.17%, The FXstreet.com Trend Index shows the pair to be strongly bullish. Daily pivot point support can be found at 0.7733, 0.7713, 0.7694 and resistance at 0.7831, 0.7850 and 0.7870, respectively