NZD/USD: at critical levels here, bulls need a strong break through 0.7280

Currently, NZD/USD is trading at 0.7255, down -0.33% on the day, having posted a daily high at 0.7283 and low at 0.7255.

NZD/USD has seen some early offers in Asia, resisted at 0.7280 and is now testing the 200 sma on the 1hr sticks here of which a break could be significant as this marks the ascending support line as well. Analysts at Westpac noted that the disappointing jump in the unemployment rate has given NZD-longs a reason to take profit following a 5%+ gain ytd.

NZD/USD 1-3 month:  

The same analysts expect that the month ahead could see NZD/USD extending beyond 0.7500 (Sep high) if the US dollar continues to register disappointment in the Trump Administration’s policies. "Further ahead, though, the Fed’s tightening cycle plus US fiscal expansion should maintain upside pressure on US interest rates and the US dollar, pushing NZD/USD lower to 0.7000. Granted, the NZ economy is strong and dairy prices have risen, but these forces are subservient to the US dollar’s trend."

NZD/USD levels

As mentioned the 200 sma on the 1hr sticks here is significant, and we are also looking to the daily sticks and noticing that the up-trend is intact, but in jeopardy, if 0.7280 continues to resist given the descending resistance line from last year's highs at 0.7480. 

NZD/USD breaking S1 of previous session, now comes key immediate resistance again: