Sunday , October 17 2021

NZD / USD defends 23.6% of the abolition of Fib despite the decline in the ANZ – Gooruf.com inflation rate



The article is taken from: www.fxstreet.com

NZD / USD defended key support at 0.6726 (23.6% Fib R 0.6424 / 0.6819) a few minutes before the press, despite decreasing the monthly inflation rate ANZ in Australia fell in October. Details of the ANZ report indicate that inflation is widening. Profits may be limited due to the growing discrepancy in Fed-RBNZ policy.
The NZD / USD pair is currently listed at 0.6736 – an increase of 0.15% compared to today – a 0.6723 decrease was noted earlier today.
Monthly inflation rate ANZ in New Zealand fell in October by 0.4% MoM (increase by 2.9% YoY), shortening the quarter to the fourth quarter in a softer tone. Details of the report published a few minutes before the press show, however, that the price pressure is widening – 16 out of 36 categories are reporting profits, which significantly exceed the average 10 since the Gauge concept. It could have helped Kiwi to recover from 23.6% of the Fib level 0.6726.
Profits may, however, be limited or short-lived, because the ANZ inflation data is not likely to force the RBNZ to adopt a hawkish bias. Meanwhile, the Fed confirmed its sharp position last week, setting a rate hike by 25 basis points in December and another three rate hikes in 2019.
Put simply, the discrepancy between the Fed and RBNZ will continue to grow. It seems safe to say that for the dollar the path of the least resistance is on the higher side.
Nevertheless, the NZD / USD looks north on the daily chart, witnessing a symmetrical breakthrough in the triangle on November 1. The break above 0.6819 (7 November) will further strengthen the already up-to-date technical configuration.


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