New Zealand Dollar, on 20 August, managed to strengthen against the dollar after the greenback weakened against the backdrop of instability in other markets. The economic data from the United States showed that the slowdown in growth in many countries has a negative impact on the United States. This led to the desire of investors to buy the yen, gold and Treasuries USA.
However, the chairman of the Federal Reserve System of the USA George. Yellen expressed confidence in the strength of the American economy with a negative impact on its global economic slowdown and the associated increased market volatility. Yellen said about this over the weekend at a meeting behind closed doors at the annual meeting of the International Monetary Fund and the World Bank.
Reasons for strengthening New Zealand dollar against the dollar on Forex told the experts of the Forex Broker Company «NordFX».
The New Zealand dollar has appreciated against the dollar amid rising prices for dairy products
The New Zealand dollar gained some support from higher international prices for dairy products at the last auction on Wednesday GlobalDairyTrade - an international trading platform, to create the largest New Zealand dairy company Fonterra Co-Operative Group. In connection with this couple New Zealand dollar / greenback may continue to grow during the current week.
The index of the auction, which consists of the price of a number of items of dairy products with different delivery times, increased by 1.4% compared with the previous trading session on October 1st. The average sales price of powdered milk, which is the main item in the auction was 2 503.00 per ton, rising by 3.1% compared with the previous trading session.
Value auction GlobalDairyTrade is that the index is considered as a benchmark price for the cost of dairy products. At the auction, sold whole and skimmed milk powder, cheese, butter and other dairy products.
The New Zealand dollar has appreciated against the dollar more than the Australian dollar because the Australian was under pressure to reduce prices for iron ore.
Medium-term prospects for the New Zealand dollar against the American dollar on the Forex
Experts of the Masterforex-V World Academy http://www.masterforex-v.com/ examined hour timeframe Kiwi-dollar to determine the future prospects of motion of the pair. On the graph, it is dominated by medium-term upward movement in which the New Zealand dollar rises. However, after yesterday's activities in the area of strengthening the range of 0.7997 formed a strong resistance, from which today began to decline couples and strengthening of the dollar against the New Zealander.
In the middle of the global trading day, the price on the chart heading down to support level near 0.7917. Rebound from this level can contribute to the growth of a couple in the area of a local maximum of 0.7997.
Break the support level near 0.7917 may lead to a reduction in the area of 0.7856 the pair. Reducing the pair occurs at high trading volumes increasing.
