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NZD/USD testing support at the 0.8100 barrier

FXstreet.com (Barcelona) - The NZD/USD plunged overnight towards the 0.8100 barrier, twice breaching this key figure (0.8089 session low), before stabilizing in this region during European trading today.

With the pair entrenched in negative territory, the cross is now facing a decline of -0.66% as it tests the 0.8100 barrier. Consistent with the calculations of the Mataf.net analyst team, the NZD/USD is presently trading at support level at 0.8108, ahead of 0.8061, and finally 0.7982. Alternatively, a paring of recent losses will drive the cross towards resistances at 0.8234, then 0.8313, onto 0.8360.

According to the ICN.com technical analyst team, “The NZD/USD has dropped to around 0.8155, where it is likely that the downtrend will extend initially to 0.8105. Linear Regression Indicators are negative, supporting the extension of that trend.”

Overnight, the market was fairly subdued, with New Zealand reporting its Producer Price Index – Output (QoQ) in Q1 at +0.8%, exceeding a consensus of 0.0%. In addition, the Producer Price Index – Input (QoQ) yielded a figure of +0.8%, against estimates of +0.2%.

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