NZD/USD sold off heavily again, eyes 0.7000

Currently, NZD/USD is trading at 0.7015, down -1.39% on the day, having posted a daily high at 0.7127 and low at 0.7011.

NZD/USD is on the back-foot, extending the FOMC sell-off down to the 0.70 handle and targets a break of 0.70 the figure. "The Federal Reserve delivered the widely expected hike yesterday.  A year ago, it suggested four hikes in 2016 were likely appropriate.  The market never accepted that, and as the year progressed many derided it.  Yesterday the Federal Reserve's projections anticipated three hikes next year instead of the two that were anticipated in September, " explained analysts at Brown Brothers Harriman.

FOMC statement: supportive of Fed’s medium-term expectations for multiple hikes over coming years - Wells Fargo

Meanwhile, analysts at Westpac explained that the US dollar has had an impressive rise since the US election and has potential to rise further during the months ahead, not least because the Fed will probably hike in December. "Against that, the NZ economy is strong and dairy prices have risen. Overall we are left with a bearish outlook for NZD/USD, targeting sub-0.70."
NZD/USD levels

Spot is presently trading at 0.7015, and next resistance can be seen at 0.7017 (Daily Classic S2), 0.7065 (Weekly Classic S1), 0.7066 (Daily Classic S1), 0.7066 (Daily 200 SMA) and 0.7093 (Hourly 20 EMA). Support below can be found at 0.7011 (Daily Low), 0.7000 (Monthly Low), 0.6991 (Weekly Classic S2), 0.6930 (Daily Classic S3) and 0.6911 (Weekly Classic S3).