NZD/USD bounces-off hourly 50-SMA, re-takes 0.7150

The NZD/USD pair reversed losses and swung back into gains post-China open, with the bulls rescued by a solid support located around hourly 50-SMA at 1.7120.

NZD/USD heading towards fresh yearly tops

Currently, the NZD/USD pair rises +0.17% to fresh session highs of 0.7137, making headways towards previous high printed at 1.7169. The Kiwi manages to regain the bids mainly on the back of a weaker US dollar against its major competitors after Fed Yellen’s testimony offered no new surprises and highlighted the Fed’s cautious stance on the rates decision.

Moreover, upbeat visitor arrivals data from the NZ economy also underpinned the sentiment around the Kiwi, with the migration data for May coming in at +5500 versus prior +5520.

Further, with the oil prices turning positive, the NZD/USD pair receives additional boost, keeping the bulls in charge. Next in focus for the major remains the Brexit headlines and US economic releases, while Yellen’s round 2 of testimony will be also eyed.

NZD/USD Levels to consider

To the upside, the next resistance is located at 0.7169 (multi-month highs), above which it could extend gains to 0.7200 (round figure). To the downside immediate support might be located at 0.7120 (1h 50-SMA) and from there to at 0.7070 (10-DMA).