It’s not a good week for the New Zealand Dollar (NZD), as it constantly plunges its price down and it’s sliding against the US Dollar (USD) again today with less than 0.6700 price And it was also observed from the graph provided that the pair’s price has continued to suffer from the recession since the beginning of the month. Possibly the fall in the price of today is due to negative economic reports of Building Permit.
The Building Permits s.a. According to Statistics New Zealand, the number of permits for new construction projects dropped from -1,3% to -8,5% this month and this figure also drops below the 2.1% economist estimate.
It’s considered a leading housing market measure. The more numbers of permits are growing, the more positive (or bullish) for the NZD, while a low reading is seen as negative, or bearish.
In comparison, if we look at the recent The Total Filled Jobs published by Stats NZ, the number increased from 2.16 M to 2.21 M. It is an indicator that estimates paid jobs that occurred in the week ending on the 20th of the month of reference. At one point in time, it shows a’ snapshot’ of full jobs. The rising number of jobs is a positive (bullish) contribution to the Dollar in New Zealand.
Although the decline in today’s price as shown in the graph given below, it is backed by numerous support levels which will soon raise the NZDUSD’s price.
There are levels of resistance on the upper side, which could limit the price forward movement of the pair or push it back through that level.
So while the NZDUSD has been not going through its good days since the beginning of the month, observing the level of support in the graph above demonstrates that there is a possibility in the NZD currency to get better over time against USD, so short- and long-term traders may not delay their investment.