NZ Dollar (NZD) inched higher against the US Dollar with a price of more than 0.7100. NZD/USD came back to its bullish trend after the terrible fall of two days.
Currently, the pair NZDUSD has three horizontal support levels, which might give potential to the pair to face the upcoming hurdles.
In addition, the news that works as a catalyst for motivating the pair up is the Initial Jobless Claims.
From the US Department of Labor, the Initial Jobless claims were released today with a figure of 339.5K this week compared to the week before data of -356.25 K.
It is a measure of the number of people filing first-time unemployment insurance claims in a state. It serves as a barometer of labor market strength. An upward trend in this statistic suggests market weakness, which affects the strength and direction of the US economy. In general, a downward trend for the USD should be considered favorable or bullish and vice-versa.
And Statistics New Zealand will release the Gross Domestic Product on September 15, 2021. The NZDUSD may maintain its upward trend and make it easier for potential investors.
Statistics New Zealand’s Gross Domestic Product (GDP) displays the overall economic performance every quarter. The indicator impacts the Reserve Bank of New Zealand’s (RBNZ) monetary policy decisions, which affects the value of the New Zealand currency. A rise in the GDP rate indicates that economic circumstances have improved, necessitating tighter monetary policy.
Conclusion
Considering the pair’s price movement over the last several days, purchasing it at current levels might result in some short- to medium-term profits.