The NZ dollar climbed and the U.S. dollar fell in the Asian session on Monday, as strong Japan and China data suggested a rebound in the world’s second and third largest economies.
The Japanese economy grew more than expected in the third quarter, as improved exports and consumption helped the country emerge from the virus crisis.
China retail sales improved from last month, while industrial output matched expectations, government data showed.
Investors also were encouraged by the news of the ASEAN trade deal aimed to accelerate the economic recovery from the coronavirus-induced slowdown.
Asia Pacific nations including China, Japan and South Korea on Sunday signed the world’s largest free-trade agreement.
The Regional Comprehensive Economic Partnership deal reduces tariffs, accelerates the service sector and lays down common trade rules within the bloc.
The kiwi strengthened to 4-day highs of 0.6890 against the greenback, 72.02 against the yen, 1.7203 against the euro, after falling to 0.6840, 71.56 and 1.7294, respectively in previous deals. The kiwi is poised to find resistance around 0.70 against the greenback, 74.00 against the yen, 1.66 against the euro.
The kiwi appreciated to 1.0588 against the aussie, following a decline to 1.0623 at 6:15 pm ET. Next key resistance for the kiwi is seen around the 1.03 level.
The greenback pulled back from its early highs of 104.72 against the yen and 1.1829 against the euro, weakening to 1-week lows of 104.49 and 1.1855, respectively. If the greenback falls further, 101.00 and 1.20 are possibly seen as its next support levels against the yen and the euro, respectively.
The greenback hit 5-day lows of 1.3234 against the pound and 0.7298 against the aussie, down from its prior highs of 1.3174 and 0.7263, respectively. The greenback is seen finding support around 1.34 against the pound and 0.75 versus the aussie.
Retreating from a high of 1.3136 seen at 5:30 pm ET, the greenback dipped to a 4-day low of 1.3097 against the loonie. The next possible support for the currency is seen around the 1.29 level.
The greenback edged down to 0.9114 against the franc early in the session and was steady thereafter. The greenback is likely to find support near the 0.90 level.
Looking ahead, Canada manufacturing sales for September and New York Fed’s empire manufacturing survey for November are scheduled for release in the New York session.
The material has been provided by InstaForex Company – www.instaforex.com
🚀If you want to get a Forex Robot Coded as per your trading strategy but are unable to do so because of the high price for the Robot then you can take advantage of the CROWD FUNDING campaigns feature. ✔ These are some crowd funding campaigns for Forex Robots, which when completed can provide the very same Forex Robot to the participants at an average price of $5-$10 per participant. ✔ You either participate in one of the already listed campaigns or send us your Forex strategy : Submit Crowd Funding Campaign , for which you would like the Forex Robot to be coded. A Crowd Funding Campaign would then be started for the same . ✔ All you have to do later on is to share the campaign online with your friends to encourage more people to participate in the campaign.
As a result, each participant can get that Forex robot for just a campaign contribution of $5 (which is the minimum). Participants can back the campaign by anything above or equal to $5 to reach the funding goal to close the campaign.