Better employment and Inflation expectations keep the pair bid.
On Tuesday in New Zealand, better employment and inflation expectations sent the NZDUSD higher. Employment change for the month was 1.4%, much higher than the 0.6% increase. The Unemployment rate fell to 4.9% - the lowest since 2009. The inflation expectations rose to 1.7%. It is still low but at least it is heading in the upward direction.
The better data sent the NZDUSD trended the price higher yesterday. That upside momentum has continued in today's trading day with the pair moving to the highest level since September 27th (it is testing that high currently at 0.7329).
Technically, yesterday the pair moved above the key 100 day MA at the 0.7198 level (see blue line on the daily chart above). That break (and then test - see the lower blue line in the chart below near the day's lows), started the trend move higher.
Today has seen the price move higher and lower, but the the NY session has seen a return to a modest move higher. We are currently up testing the September 27th high and the high from earlier today. A break above would next target highs between 0.7362-79 (see yellow area in the daily chart above). The underside of a broken trend line also cuts across at that area. A move above looks toward the years highs at 0.74847 level
The fundamentals are helping this pair. Other commodity currency pairs like the USDCAD and the AUDUSD are slow to follow.
