August 13, 2021

Daily U.S. Session Watchlist: NZD/USD

 There aren’t any top-tier reports scheduled in the next coupla hours but that doesn’t mean we won’t see volatility!

Today I’m looking at NZD/USD’s wide range on the 4-hour time frame.

But first, check out the headlines that rocked the markets in the last trading sessions:

Fresh Market Headlines & Economic Data:

Dollar rises after U.S. producer prices surge

Canada PM Trudeau planning snap election, seeks approval for COVID response

NIESR: U.K.’s rapid growth to slow in third quarter

BusinessNZ: Expansion in New Zealand’s manufacturing sector lifted again in July

AUD and NZD flatline, might need RBNZ shock treatment

Upcoming Potential Catalysts on the Economic Calendar:

Eurozone’s trade balance at 9:00 am GMT

Canada’s PPI at 12:30 pm GMT

U.S. import prices at 12:30 pm GMT

U.S. University of Michigan consumer sentiment at 2:00 pm GMT

If you’re not familiar with the forex market’s main trading sessions, check out our Forex Market Hours tool.

What to Watch: NZD/USD

There won’t be top-tier or closely-watched economic releases in the next trading sessions but that doesn’t mean we won’t see volatility!

For one thing, traders could start pricing in next week’s FOMC meeting minutes AND the Reserve Bank of New Zealand’s (RBNZ) policy announcement.

Both central banks are kinda leaning towards tapering or tightening but, if NZD/USD’s consolidation is any clue, there may not be many Kiwi sellers left against the dollar.

I’ll be on the lookout for sustained trading above .7075, which could lead to a retest of the mid-range area or even the .7300 range resistance levels.

Of course, it’s also possible that the dollar will dominate today and next week’s trading.

If NZD/USD sees enough sellers to trade below the months-strong range support, then I can target support and resistance zones closer to the .6780 and .6700 levels.