NZD/USD: bulls stay in charge on Wheeler

NZD/USD stays with the bulls in Asia as Wheeler gives them another boost in the Q&A's when he added that there will be no further stimulus needed at this stage.

NZD/USD flew from the vicinity of 0.7020 to mark 100 pips higher on the OCR announcements left on hold  before settling back below the 0.71 handle ahead of the Q7A's. The bird then took on more demand to make higher highs at 0.7128 so far as we progress through pre Tokyo sessions.

Analysts at Westpac offered their outlook up to three months ahead and call for a weaker currency and target 0.6500, but for the mean time, the spreads are dictating the direction with a better risk appetite underpinning the pro commodity sector allowing for the antipodeans to continue higher this week. 

NZD/USD levels

NZD/USD broke through the double top on the 4hr sticks at 0.7050 after the RBNZ announcments, leaving the 20 sma on the 4hr charts for dust at 0.6964 where rice has been supported since late May's upside. We are now on the 0.71 handle and approaching the half way mark with highs of 0.7139 so far at time of writing. The 0.71 level will be a supporting area and 0.7080 there after ahead of 0.7050 on pull backs. The bulls have sights on the 0.72 handle to put the price back on the 19th Jan commencing bullish channle's trajectory.