NZD/USD tracks Aussie lower, ignores risk-on

The bears appear to take a breather over the last hour, allowing a tepid bounce in NZD/USD from the lowest levels since mid-March.

NZD/USD: 0.6900 still on sight?

NZD/USD remains slightly offered, extending its downside consolidative mode into late-Asia, as the US dollar remains in demand across the board, now testing multi-week tops near 101.20 levels.

The spot also tracks the weakness seen its OZ neighbour AUD, after worse-than expected Aus housing finance data and weaker copper prices weighed negatively on the AUD/USD pair.

Meanwhile, the major fails to benefit from a better risk environment amid higher Asian equities and oil prices, as the sentiment remains driven by the USD dynamics, despite Friday’s weak US NFP numbers.

NZD/USD Levels to consider                                                                              

To the upside, the next resistance is located at 0.7000/05 (round number & 20-DMA), above which it could extend gains to 7050/56 (psychological levels/ 50-DMA) and from there to 0.7075 (100-DMA/ key resistance). To the downside immediate support might be located at 0.6907/00 (Mar 15 low/ zero figure), and from there to 0.6887 (Mar 9 low), below 0.6859/ 50 (Dec 23 low/ psychological levels) would be tested.