The NZD/USD currency pair traded with a negative bias near the 0.5860 level on Friday, April 24, as the US Dollar remained supported by strong economic data and ongoing geopolitical uncertainty [1]. Weekly Initial Jobless Claims in the US rose slightly to 215,000 from 212,000, indicating continued strength in the US labor market [1]. Additionally, S&P Global Purchasing Managers' Index (PMI) figures exceeded expectations, with Manufacturing at 52.1 and Services at 53.7, both signaling sustained expansion in business activity [1]. This combination of data pushed US yields higher and reinforced demand for the Dollar [1].
Geopolitical developments also influenced market sentiment, with reports denying the resignation of Iran's Speaker of Parliament, Mohammad-Bagher Ghalibaf, from a key negotiating role, adding to uncertainty surrounding Middle East diplomacy [1].
From a technical perspective, NZD/USD traded at 0.5858 with a mildly bearish near-term bias. The Relative Strength Index (RSI) hovered around 37, indicating that selling pressure was present but not yet at oversold levels [1]. Key resistance levels were identified at 0.5871, 0.5879, 0.5907, and 0.5930, with a stronger barrier at 0.5965. On the downside, immediate support was seen at 0.5847, followed by 0.5840 and the 100-period Simple Moving Average near 0.5833. A break below these levels could lead to deeper losses for the pair [1].
CONCLUSION
Stronger-than-expected US economic data and persistent geopolitical uncertainty have pressured NZD/USD lower, reinforcing demand for the US Dollar. Technical indicators suggest further downside risk if support levels are breached, while market sentiment remains cautious.