FxNews—The S&P/NZX 50 index in New Zealand showed minimal changes, ending at 12,783 this Tuesday after a public holiday. The Reserve Bank of New Zealand’s Governor, Adrian Orr, recently mentioned that a stable, low-inflation economy could soon happen.
He noted that the bank is closely monitoring how companies plan their pricing, hinting at the possibility of a significant rate decrease in November.
Investors Eye US Updates and China Data This Week
In other news, investors are looking for important economic updates from the United States and manufacturing data from China due later in the week.
In international news, Israel conducted targeted strikes on military bases in Iran, steering clear of hitting oil or nuclear sites, which eased some worries about the tensions in the Middle East.
Contact Energy’s shares increased by 1.05%, Mercury NZ’s dropped by 3.2%, and Meridian Energy’s stocks remained unchanged. Fisher & Paykel, a leading company, also saw its shares decline by 2.1%.
NZDUSD Technical Analysis – 29-October-2024
The NZD/USD downtrend eased when the price reached the %78.6 Fibonacci retracement level at $0.596, as shown in the daily chart above.
Robust selling pressure drove the Stochastic Oscillator into oversold territory, meaning the NZD/USD price could start a consolidation phase or pullback from the $0.596 mark, which is the immediate support.
NZDUSD Price Forecast – 29-October-2024
From a technical standpoint, if the $0.596 support holds, the New Zealand dollar could have a chance to erase some of its recent losses against the Greenback. If this scenario unfolds, NZD/USD could rise and test the October 16 low at $0.604 as resistance. This level provides a decent ask price to join the bear market.
Please note that bulls must close above the $0.6 immediate resistance to trigger a new bullish trend.
NZDUSD Bearish Scenario
Conversely, a new bearish wave will likely be triggered if sellers push the price below the $0.596 support. If this scenario unfolds, the next bearish target could be the $0.591 mark.
Support and Resistance Levels
Traders and investors should closely monitor the key levels below to make informed decisions and adjust their strategies accordingly as market conditions shift.
- Support: 0.5963 / 0.5915
- Resistance: 0.6 / 0.604