NZD Dips after Poor Consumer Confidence, Markets Staying in Consolidations
Action Insight Daily Report 6-21-22

NZD Dips after Poor Consumer Confidence, Markets Staying in Consolidations

The markets are rather mixed in Asian session today, engaging in mostly consolidative moves. New Zealand Dollar trades broadly lower following record low consumer confidence data. But Canadian and Australian Dollars are firmer on steady risk sentiment. Dollar is also weak together with Yen while European majors are mixed.

Technically, NZD/USD dips slightly after failing to stand above 4 hour 55 EMA again today. Overall development suggests that recovery from 0.6195 is merely a corrective move and outlook stays bearish. Break of 0.6286 minor support will likely resume larger down trend through 0.6195 low. Though, bring of 0.6395 will bring stronger rise back to 0.6575 structural resistance.

In Asia, at the time of writing, Nikkei is up 2.37%. Hong Kong HSI is up 1.59%. China Shanghai SSE is down -0.12%. Singapore Strait Times is up 0.88%. 10-year JGB yield is down -0.0003 at 0.233.

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USD/JPY Daily Outlook

Daily Pivots: (S1) 134.62; (P) 135.03; (R1) 135.52; More...

USD/JPY is still bounded in range below 135.58 and intraday bias remains neutral first. More consolidations could be seen but further rally is expected as long as 131.34 support holds. On the upside, break of 135.58 will resume larger up trend to 61.8% projection of 114.40 to 131.34 from 126.35 at 136.81. Firm break there will target 100% projection at 143.29.

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