24 Aug 2015
NZD/USD heavy on China turmoil, around 0.6600
FXStreet (Mumbai) - NZD/USD faced a double whammy on Monday, as the New Zealand dollar was badly hit by the ongoing negative influence of Chinese stocks on the financial markets while RBNZ Spencer’s dovish comments also added to the downside.
NZD/USD struggling around 0.66 handle
Currently, the NZD/USD pair drops -1.26% to 0.6602, slightly easing-off lows at 0.6577. The NZD/USD remains deep in red as the latest collapse in Chinese stocks fuelled risk-aversion across the board, with the AUD and NZD emerging the biggest losers in the currency markets.
Stock markets in China has been in free fall recently after the latest news signalled the Chinese economy is slowing, raising worries over the health of the world's no.2 economy.
In addition, RBNZ Spencer’s latest remarks, citing that interest rate rises are off the table for some time, further pressured the Kiwi to the downside.
NZD/USD Levels to consider
To the upside, the next resistance is located at 0.6656 (Aug 12 High) levels and above which it could extend gains 0.6683 (July 31 High) levels. To the downside immediate support might be located at 0.6576 (Aug 20 Low) below that at 0.6515 (Aug 11 Low).
NZD/USD struggling around 0.66 handle
Currently, the NZD/USD pair drops -1.26% to 0.6602, slightly easing-off lows at 0.6577. The NZD/USD remains deep in red as the latest collapse in Chinese stocks fuelled risk-aversion across the board, with the AUD and NZD emerging the biggest losers in the currency markets.
Stock markets in China has been in free fall recently after the latest news signalled the Chinese economy is slowing, raising worries over the health of the world's no.2 economy.
In addition, RBNZ Spencer’s latest remarks, citing that interest rate rises are off the table for some time, further pressured the Kiwi to the downside.
NZD/USD Levels to consider
To the upside, the next resistance is located at 0.6656 (Aug 12 High) levels and above which it could extend gains 0.6683 (July 31 High) levels. To the downside immediate support might be located at 0.6576 (Aug 20 Low) below that at 0.6515 (Aug 11 Low).