NZD/USD is trading downwards again after yesterday’s spike

FXstreet.com (Athens) - The NZD/USD is under heavy pressure on Thursday, ahead of crucial central bank minutes, G20 conference and mainly due to a corrective pullback after yesterday’s mini rally.

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The NZD/USD is under a corrective pullback trend behavior today, partly to yesterday’s rally. On Wednesday the ‘kiwi’ soared across the board, therefore the NZD/USD gained more than 100 pips. Though today, on early European trading session and since the opening of Asian trading the pair has erased a portion of its gains. This could be attributed to a couple of reasons like higher expected volatility ahead of central banks meetings, as well as that on Wednesday the dollar index fell 0.3 percent to 82.131, retreating from Tuesday's peak of 82.516, its highest since July 22.

Technical Outlook on NZD/USD

At the time of writing, the pair is trading at 0.7880 area, down 0.32%, nearly its daily low as of 0.7874. The FXstreet.com Trend Index shows the pair to be slightly bullish and overbought, on a 15 minutes timeframe. Daily pivot point support can be found at 0.7733, 0.7713, 0.7694 and resistance at 0.7891, 0.7910 and 0.7986, respectively.

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