- The NZD/USD has gained some tracking (dsc) for the second straight session on Tuesday.
- The last optimism about the corona virus vaccine dented the USD’s relative safe-haven status.
- The optimism of the market mood benefited the perception of riskier kiwi, and always favorable.
The NZD/USD pair to build from the previous day’s strong positive, or is around 120 pips, and has continued to gain ground, for the second straight session on Tuesday. The increase lifted the pair to a about a week, tops, but began to lose momentum, just before the 0.6100 brand.
The U.S. drugmaker of Modern art, announced positive results for its potential as a COVID-19 vaccination on Tuesday, and has added to the optimism about the easing or time restrictions in some parts of the world. This, in turn, has boosted investor confidence and led to a strong recovery in the global equity markets.
The optimism of the market’s mood, has weighed on the U.S. dollar’s perceived safe-haven status, and has proven to be one of the key factors that have benefited perceived riskier currencies, including the kiwi. The momentum lifted the NZD/USD pair is back above the key is 0.60 psychological mark, which has also contributed to some follow-up on short-covering, move it, Tuesday.
During this time, growing concerns about the second wave of corona virus of the pandemic and the worsening of US-China relations, helped to limit the recent USD decline in three weeks-tops. This term seems to have kept a paragraph on any runaway rally in the NZD/USD pair, making it prudent to wait for some follow-through buying before placing fresh bullish bets.
Later, at the beginning of the North American session, the market of real estate data, building Permits and housing starts will be sought for a new impetus. It will be followed by the Fed Chairman, and Jerome Powell, and U.S. Secretary of the Treasury, and Steven Mnuchin of testimony before the congress, which is likely to produce trading opportunities.