NZD/USD remains weak at 0.7335 after upbeat US data

Having posted a session low at 0.7315, the NZD/USD pair has managed to recover but maintained mild bearish bias and is currently trading around 0.7335-40 band.

The pair snapped its three days of winning streak and remained in negative territory for major part of the trading session on Thursday as RBNZ’s rate statement left doors open for a possible interest-rate cut at its meeting in November. However, a broad based offered tone around the US Dollar limited further downslide and the pair oscillated within a narrow trading range. 

On the economic data front, US weekly jobless claims fell to its lowest level since July and came-in at 252K, which was better-than consensus forecast pointing to an uptick to 262K. The data continues to point to the underlying strength in the US labor market but failed to trigger any meaningful bounce for the greenback.

Next on tap would be the release of US existing home sales data and CB leading indicator.

Technical levels to watch

On the downside 0.7315 (session low) remains immediate support to defend, which if broken seems to drag the pair below 0.7300 handle towards retesting 0.7250 important support. Meanwhile on the upside, sustained move above 0.7360-65 resistance (session high) is likely to boost the pair immediately towards 0.7400 handle before the pair makes a fresh attempt to test Sept. daily closing high resistance near 0.7450 level.