NZD/USD: Bulls take charge, eyes a break above 5-DMA

The NZD/USD pair extends its post Q3 GDP bullishness into a second day today, driving the recovery back above 0.69 handle.

NZD/USD regains 0.69 handle

Currently, the NZD/USD pair remains better and flirts with daily tops of 0.6909, having bounced-off a brief dip below 0.69 barrier. The Kiwi peeks into the green, although struggles to take-out 5-DMA barrier located 0.6911 amid cautious markets as oil and stocks trade in the red zone.

However, the bulls manage to find some support from broad based US dollar weakness and stronger NZ growth numbers, allowing the major to rise above 0.6900 levels. Next of note for the spot remains the US datasets due on the cards in the US session, in the meantime, the NZD/USD pair will take cues from the broad market sentiment amid holiday-thinned trading.

NZD/USD Levels to consider

To the upside, the next resistance is located at 0.6927 (previous high/ daily R1), above which it could extend gains to 0.6985 (10-DMA) and from there to 0.7000 (zero figure). To the downside immediate support might be located at 0.6885 (Dec 22 low/ daily S1) and from there to at 0.6850 (psychological levels), below which 0.6800 (zero figure) would be tested.