NZD/USD inching closer to 0.6900 handle

The NZD/USD pair remained well offered for the fifth consecutive session and moved within striking distance of 0.6900 handle.

Currently trading around 0.6925 region, having posted a session low at 0.6915 level, the pair touched its lowest level since June 7 as growing expectations of faster Fed rate-hike action in 2017, following last week’s hawkish Fed forecast, continues to weigh heavily on higher-yielding currencies - like the Kiwi. 

In absence of any major market moving releases, the US Dollar price-dynamics would remain the sole driver of the pair's movement on Tuesday ahead of the release of GDT Price Index. On Wednesday, NZ trade balance data might provide further impetus during early Asian session. 

Technical levels to watch

A follow through selling pressure below session low support near 0.6915-10 area seems to drag the pair below 0.6900 round figure mark towards 0.6890 support (June 7 low) ahead of 0.6800 handle (June 3 low). On the flip side, any recovery attempt might now confront resistance near 0.6950 level above which the a fresh bout of short-covering could lift the pair towards 0.6990 resistance (yesterday's high).