The New Zealand Dollar (NZD) inched higher against the US Dollar (USD) on Tuesday, increasing the price of NZDUSD to more than 0.6700 following some key economic releases. The technical bias may remain bearish because of a lower low in the recent downside move.

NZD/USD Technical Analysis

As of this writing, the pair is being traded around 0.6782, a hurdle can be noted near 0.6811, the trendline resistance ahead of 0.6818 the key horizontal resistance and then comes 0.6833, 61.8% Fib level resistance as demonstrated in the given below chart.

On the downside, a support can be noted around 0.6730, the confluence of a trendline and a horizontal support level ahead of 0.6694, the 61.8% Fib level support and then 0.6577, the major horizontal support as demonstrated in the given above chart. The technical bias shall remain bearish as long as the 0.6811 resistance area is intact.

United States ISMI Prices Paid News

In the United States, the figure concerning the price index of ISMI remained  72.1 in August, as compared to 73.2 during the month before, up beating the economist expectation which was 70.2. The data is copied from the news released by the US Institute for Supply Management.

It shows the prevailing condition of the manufacturing market of the country. The figure is derived after taking into account various elements of the market such as new orders placed, the estimated rate of production for the future, employment rate, available inventories, and deliveries made so far.

The  ISM figure is considered as a sensitive indicator of the US economy. It is also taken as an indicator of the sentiment of business concerning the inflation that may occur in a due course of time. Generally speaking, a high reading in this regard is taken as a bullish trend for the US Dollar (USD) whereas a low reading indicates a bearish market for the US Dollar (USD).

Trade Idea

Considering the overall technical and fundamental outlook, selling the pair around current levels may be a good strategy in short to medium term.