NZDJPY has rallied to 72.90 on the day and the 73.00 resistance level is the next obstacle on the path forward.
The Kiwi dollar got a boost on Monday from higher retail sales. The New Zealand statistics bureau reported a sharp gain of 28% for the most recent quarter, following the Q2 decline of 14.6%. The release was another highlight in New Zealand’s emergence from the country’s coronavirus woes.
The Yen has been under pressure across the board as risk assets see less demand in light of the vaccine emergence, while oil’s rally has also been negative to the Japanese currency. A continuation of these trends would see the NZDJPY supported.
NZDJPY Technical Outlook
The NZDJPY pair has pushed through the 71.70 resistance and the 73.50 level is the next obstacle with 76.00 being a bigger target. This would be negated on a bearish close but the path is higher for now. The Investing Cube team is currently available to help all levels of traders with the Forex Trading Course or one-to-one coaching.