Improved Non-Farm Payrolls Driving U.S. Dollar Higher
Improved Outlook for Earnings Boosts U.S. Equities
Improved Global Growth Outlook Spurs New Zealand Dollar Rally
The NZD USD continued to mount a strong comeback rally following the formation of the .6572 closing price reversal bottom earlier in the week. The rally has already exceeded expectations, which is a sign of higher markets to come. The chart pattern suggests that a double-bottom is forming at .6560 to .6572 which projects a rally to .7238. This move may take some time to form.
Improved ISM Services Results Boosts Equity Markets
U.S. equity markets rose sharply following the release of a better than expected ISM Service Sector Report. Trader demand for more risky assets was up even before the U.S. markets opened, and the friendly ISM Report helped drive them higher. Oversold short-term conditions also helped to fuel the rally.