By FXEmpire.com
NZD/USD Weekly Fundamental Analysis April 16-20, 2012, Forecast
Introduction: The recent strength of the kiwi, a currency sometimes overlooked by traders, made its moves much more predictable. This applies to support and resistance lines alike. This is a very safe pair to trade, not a great deal of volatility but predictability.
Analysis and Recommendation:
NZD/USD dollar rose more than half a US cent after figures showed the most Americans since January filed for an unemployment benefit last week.
The currency gained to 83.18US from 81.95 cents, before collapsing to 0.8230
Investors balked the greenback after the number of people in the US filing for an unemployment benefit increased by 13,000 in the week ended April 7 to 380,000, according to the US Labor department.
The weaker US data helped support speculation the Federal Reserve will embark on another round of quantitative easing, boosting demand for high-yielding currencies such as the kiwi.
The USD gained momentum on Friday after disappointing numbers from China and higher inflation in the US.
Investors quickly moved to the safety of the USD.
|
Date |
Last |
Open |
High |
Change % |
|
|
04/13/2012 |
0.8230 |
0.8310 |
0.8318 |
0.8228 |
-0.96% |
|
04/12/2012 |
0.8310 |
0.8192 |
0.8319 |
0.8180 |
1.44% |
|
04/11/2012 |
0.8192 |
0.8142 |
0.8220 |
0.8140 |
0.61% |
|
04/10/2012 |
0.8142 |
0.8207 |
0.8240 |
0.8122 |
-0.79% |
|
04/09/2012 |
0.8207 |
0.8188 |
0.8238 |
0.8154 |
0.23% |
Major Economic Events for the past week actual v. forecast
|
Apr. 09 |
CNY |
Chinese CPI (YoY) |
3.6% |
3.3% |
3.2% |
|
Apr. 10 |
USD |
Fed Chairman Bernanke Speaks |
|||
|
JPY |
Interest Rate Decision |
0.10% |
0.10% |
0.10% |
|
|
JPY |
BoJ Press Conference |
||||
|
Apr. 12 |
Trade Balance |
0.3B |
2.0B |
2.0B |
|
|
USD |
Trade Balance |
-46.0B |
-52.0B |
-52.5B |
|
|
USD |
Initial Jobless Claims |
380K |
355K |
367K |
|
|
Apr. 13 |
CNY |
Chinese GDP (YoY) |
8.1% |
8.3% |
8.9% |
|
USD |
Core CPI (MoM) |
0.2% |
0.2% |
0.1% |
|
|
USD |
CPI (MoM) |
0.3% |
0.3% |
0.4% |
Historical
Highest: 0.8816 USD on 31 Jul 2011.
Average: 0.7543 USD over this period.
Lowest: 0.6619 USD on 07 Jun 2010.
Economic Highlights of the coming week that affect the Yen, the Aussie, the Kiwi and the Chinese Yuan
|
Apr. 17 |
05:30 |
JPY |
Industrial Production (MoM) |
-1.2% |
|
Apr. 18 |
23:45 |
NZD |
CPI (QoQ) |
-0.3% |
Government Bond Auctions (this week)
Apr 16-30 n/a UK Re-opened 3.75% 2052 Conventional Gilt syndication
Apr 16 09:10 Slovakia Auctions floating rate Nov 2016 & 4.35% Oct 2025 & Bonds
Apr 16 09:10 Norway T-bill auction
Apr 17 08:30 Spain 12 & 18M T-bill auction
Apr 17 09:30 Belgium Auctions 3 & 12M T-bills
Apr 18 09:10 Sweden Nominal bond auction
Apr 18 09:30 Germany Eur 5.0bn 0.25% Mar 2014 Schatz
Apr 18 14:30 Sweden Details T-bill auction on Apr 25
Apr 19 08:30 Spain Obligacion auction
Apr 19 08:50 France BTAN auction
Apr 19 09:30 UK Auctions 0.125% I/L Gilt 2029
Apr 19 09:50 France OATi auction
Originally posted here
