NZD/USD Bears May Find Momentum If Price Breaks Below Support Near 0.7215

NZD/USD – Technical Analysis for Binary Options Brokers

New Zealand – Trade Balance

On Wednesday, at GMT 10:45 p.m., the Statistics New Zealand released the national trade balance figure, which measures the difference of the value between net import and net export of the country during the previous month.

Since the export of a country is directly correlated to the demand for its currency, a positive trade balance figure indicates that foreigners had to buy more local (NZD) currency in exchange of their domestic currency. Hence, economists and binary options brokers consider the trade balance to be an important indicator of the health of the New Zealand’s economy.

Last month, the trade balance figure of New Zealand came out at $242 million, and this month the forecast is set a much lower figure, at -$200 million.

United States – Core Durable Goods Orders

On Friday, at GMT 12:30 p.m., the US Census Bureau will release the month-over-month core durable goods orders figure, which measures the changes in the total value of all new purchase orders made to the US manufacturers for durable goods over the past month. However, the US Census Bureau excludes goods from the transportation sector in this figure in order to offer an accurate picture.

Binary options brokers consider the US core durable goods orders to be the primary gauge of production situation in the economy, as an increase in purchase orders indicates that US manufacturing activity and growth will happen in the near future.

Last month, the US core durable goods orders increased by 0.1% and the forecast for this month is currently set at an increase of 0.4%.

NZD/USD Forecast

NZD / USD Analysis for Binary options brokers

Since May, the NZD/USD remained in a strong uptrend that pushed the price by around 730 pips over the last few months and the pair formed a well-respected uptrend line in the process. However, on August 7, the NZD/USD broke below the uptrend line and the price fell towards the support level around 0.7215.

As the US core durable goods orders are expected to increase by an additional 0.4%, but the New Zealand trade balance is expected to decrease by -$200 million, we believe it would likely set a bearish fundamental outlook for the NZD/USD this week. Therefore, if the NZD/USD price breaks below the support around 0.7215, it would likely attract additional bearish momentum in the market.

Hence, US binary options traders should look out for trading opportunities below this major support level around 0.7215.

Top US Binary Options Brokers To trade NZD/USD

Top US Broker: BinaryMate

US Regulated Platform: NADEX

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