Bears are taking a firmer grip on NZD/USD

FXStreet (Moscow) - Following a respective high and low at 0.8697 and 0.8650, NZD/USD is currently trading at 0.8652, down -0.40% on the day

The kiwi is in danger

The New Zealand dollar looks more reserved than usually. Its reaction to the sharp improvement in the PMI Services index is surprising. The released on Monday Service sector readings grew by its strongest pace since 2007 supporting the hope for speedy recovery during this year, but the kiwi was able only reach 0.8694 high, and retreated back to 0.8650 area at the moment. The support area 0.8630 may be the next target on the way down, and It could to be hard to break below, if it were not for the first tier data from the USA scheduled for release this week. If American CPI numbers come out better than expected, it may fuel the selling interest with initial target at 0.8606.

What are today’s key NZD/USD levels?

Today's central pivot point can be found at 0.8671, with support below at 0.8647, 0.8606 and 0.8582, with resistance above at 0.8712, 0.8736 and 0.8777. Hourly Moving Averages are neutral, with the 200SMA at 0.8634 and the daily 20EMA at 0.8612. Hourly RSI is bearish at 44.