Forex technical analysis: NZDUSD accelerating to the upside.
Above 38.2% retracement
The NZDUSD has accelerated to the upside, adding about 35 pips to the upside over the last few hours of trading. That more than doubled the trading range for the day (it is about 64 pips now). In the process, the price is above the 38.2% retracement at 0.72558.
The move higher runs counter to the "risk off" trade that typically accompanies a sharp move lower in the stocks. When that happens, currencies like the NZD tend to see flows leave the currency. Not today however. Instead we are seeing money flow out of the USD. The greenback is now the weakest currency, while the NZD is higher vs. all the currencies with the exception of the GBP.