RBNZ send NZD crashing

The USD has continued from last week in a strong start to trading, after Friday’s GDP Q2 data was released at 4.2%.

USD/JPY has made more highs and is now looking to breach the 110 mark as it got as close as 109.74 overnight, with US pending home sales the only data of importance out today from the US.

The Kiwi has been hit hard overnight not only with just a strong US dollar, but comments from the RBNZ stating that they have intervened in selling the currency sending it down over 100 points. There’s been a slight bounce back so far but the Kiwi is looking very nervous for the rest of the day.

The Aussie has fallen as well dragged down by the Kiwi and general strength of the USD, currently just above 0.8700.

The pound and the euro are both currently trading flat, but both had big drops early on in Asia, trading cable as low as 1.6217 and Euro as low as 1.2665. Both seem to be struggling against the strong USD and both have little to help them along the way today, so could see more of the same.

EUR/USD

Supports 1.2676 -1.2655-1.2500 | Resistance 1.2696-1.2751-1.2764

USD/JPY

Supports 109.37-109.16-108.99 | Resistance 110.00-110.30-110.75

GBP/USD

Supports 1.6217-1.6153-1.6097 | Resistance 1.6273-1.6301-1.6341

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