Thursday ended with the EUR/USD being high above of local resistance of 1.10. What's the target now?
Aussie and Kiwi ascend versus broadly weaker US dollar
On Thursday, the Australian and New Zealand dollars rallied because market sentiment on the greenback was still vulnerable amid American political worries and after positive New Zealand business confidence data.
The currency pair AUD/USD rallied 0.33% getting to 0.7664, which is the highest outcome since March 30.
The American currency was suppressed after on Tuesday American Senate Republicans dared to postpone a vote on the Trump administration’s healthcare bill as they stumbled on resistance from party members.
Traders are concerned that the administration won’t be able to implement tax drops along with fiscal stimulus steps, without passing that bill.
Apart from that, investors were looking ahead to data on American first-quarter surge as well as unemployment claims for further clues on the strength of the US economy.
The currency pair NZD/USD gained 0.12%, trading at 0.7314, off Tuesday’s four-month high of 0.7344.
The Reserve Bank of Australia will publish its statement and announce the interest rate on July 7, at 7:30 MT time.
The overall market sentiment was mixed after the USA recorded the largest increase in virus cases since May 9. The data even offset the better-than-expected NFP.
The risk-on tone is back on the market again. Let’s look at main trading opportunities.