NZD/USD: Bears eyeing a break below 0.73 ahead of a Big week

The bears extend control for the third straight session, sending the NZD/USD pair further towards 0.73 handle amid wide-spread risk-aversion.

NZD/USD targets 20-DMA at 0.7301

Currently, the NZD/USD pair trades -0.10% lower at 0.7317, meandering near Friday’s low struck at 0.7312 levels. The Kiwi keeps the red as the sentiment around the higher-yielding currency remains sour amid tumbling global equities as well as commodities’ prices, especially oil.

Moreover, the NZD/USD pair fails to take advantage of a weaker greenback across the board, in response to confusing Fed speaks, which heightens uncertainty over Fed’s next policy move.

Amid a lack of fresh fundamental triggers today, focus shifts towards the Chinese data dump due tomorrow, while NZ GDP lined up for release later in the week also remains in the spotlight for next direction on the major.

NZD/USD Levels to consider

To the upside, the next resistance is located at 0.7339/42 (daily R1/ 10-DMA), above which it could extend gains to at 0.7365 (5-DMA). To the downside immediate support might be located at 0.7301 (20-DMA) and from there to at 0.7269/66 (Sept 5 & 2 low).