NZD fails to hold on to moves shedding one cent against the USD

Daily Currency Update

The New Zealand Dollar enjoyed mixed fortunes on Friday, early in the session it touched a high of 0.6690 before being labelled the worst-performing major for the day and shedding over one cent vs the Greenback. In the absence of any local data the Kiwi had nothing to hold on to therefore, upbeat US Non-Farm Payrolls data which beat expectations pulled the NZD/USD pair down breaking through 66c and touching a low of 0.6588. News that negotiations in the US over the Fiscal stimulus had not been reached and Trump singed four executive orders to provide the country with some relief gave support for the Greenback.
On the data front, the only piece of top tier data is out on Wednesday, the Reserve Bank of New Zealand (RBNZ) announces its interest rate decision. While no change in the overnight cash rate (OCR) is expected, the RBNZ is under increasing pressure to fend off a stronger Kiwi dollar which is placing “further pressure on export earnings.” From a technical perspective, the Kiwi is currently trading at 0.6605, we see 0.6575 as near-term support followed by 0.6525. On the upside, expect to see resistance on moves approaching 0.6645-50.