The New Zealand dollar was trading with an increase at the end of the session on Monday against the backdrop of improved investor sentiment caused by the release on Friday, better-than-expected data on the number of jobs outside agriculture in the USA and the growth on Wall Street.According to foreign exchange manager ANZ Murray Hindley, the New Zealand dollar rose against the backdrop of improving sentiment, but trading mostly in the range due to lack of domestic factors.
Lack of New Zealand data indicates that "vibrations couples are likely to be influenced by the dynamics of other currencies," said Hindley. On Tuesday, the focus of the market will be the budget in Australia. On Wednesday, attention will switch to the semi-annual report of the Reserve Bank of New Zealand, dedicated to financial stability, and any accompanying declarations made at the press conference, central bank governor Alan Bollard.
According to Hindley, support for the pair should be around 0.7850 and resistance - at 0.8000.
According to currency strategist at BNZ Mike Jones, the market will also closely monitor facing this week's data from China. "The publication of favorable data will limit further decline in commodity prices and, therefore, on the New Zealand and Australian dollars," - he said.
"It makes sense to follow the developments in the European debt market, to understand whether the decline of the euro last week, one-off or the start of something more negative," - he said.
