The New Zealand Institute of Economic Research publishes its Business Confidence Report on Tuesday 14th April at 10.00 a.m. local time. This could be important in determining the next significant directional bias for the NZDUSD spot rate, which is currently struggling for strong directional leadership.
NZDUSD Chart Points to Downside Correction Bias
Yet another rebound stall to end the week, back from the topping line from latter March and recent peaks at .7608/09 to break below trend line and chart support .7520 and maintain a negative bias early this week.
Although we just retain a positive bias for April from the Double bottom pattern from late March, this continues to be questioned by the weekly Gravestone Doji from the same week. Only below .7391 signals a shift back to a broader range theme.
- We see a downside bias for .7486; break here aims for .7453, maybe .7425.
- But above .7608/09 opens risk up to .7631, maybe .7666.
Short-term Outlook – Upside Risks:
- We question the base and bullish recovery theme, but whilst holding above .7391, into April we see a positive tone with the upside threat back to the March peak at .7697.
- Above here immediately targets .7711, then .7891.
What Changes This? Below .7391 signals a neutral tone, only shifting negative below .7274.