Kiwi Dollar Gains Impetus After Bounce From Multi-Year Trendline

  • Technical support from trendline dating back to 2015
  • Fibonacci retracement from 2014-2015 bear market may cap move

The New Zealand dollar may see renewed strength against the greenback after bouncing off support from a multi-year trendline in early 2017 trading, Bloomberg technical strategist Sejul Gokal writes.

  • The trendline dates back to August 2015, and if the kiwi continues to hold above this level this week, it may provide impetus for gains toward a November high at around 74 U.S. cents
  • Any move above that may be capped by the 50 percent Fibonacci retracement line of the 2014-2015 bear market near 75 U.S. cents, a level that halted further gains in September
  • NOTE: Sejul Gokal is a technical strategist who writes for Bloomberg. The observations he makes are his own and are not intended as investment advice