Today’s surprisingly strong jobs data from the NFP employment report is giving the US Dollar strength across the board. Commodity currencies Aussie and Kiwi are both being pulled lower by the USD after spending the week in consolidation. Let’s take a look at where these two comm dolls might be heading.
The AUD/USD is breaking into new lows on the year after consolidating this week ahead of the NFP report. With the 2014 low broken, it opens up the 2010-low at 0.8066 in 2015. In the short to medium-term, if the bearish trend is to continue, we should see resistance around 0.8750. The NZD/USD is now breaking this week’s rising speedline after the NFP report, which signals bearish continuation. It has already broken into new lows on the year this week at 0.7707. A break below 0.77 will first test the 2013-low at 0.7683. Below 0.7680, the next key support is around the 2012-lows in the 0.7455-0.7460 area. If the short to medium-term mode is to remain bearish, NZD/USD should see resistance around 0.7850.
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