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Friday's Asia-Pac session saw NZD/USD..........>

KIWI
KIWI: Friday's Asia-Pac session saw NZD/USD advance, with the pair looking
through mixed economic data released out of China. NZD was already atop the G10
pile when BNZ upgraded their 2019/20 milk price forecast, helping NZD/USD
consolidate gains. Broader USD weakness allowed NZD/USD to climb further through
the day and the pair finishing 35 pips better off.
- NZD/USD now trades at $0.6388, a touch higher on the day. Friday's rally was
capped at $0.6391 by the adjacent Sep 16 peak/76.4% retracement of the Sep 12 -
Oct 1 slide at $0.6392/93. A break above those levels would bring the Sep 12
high of $0.6451 into view. Meanwhile, bears look for a retreat below the 61.8%
retracement of the Sep 12 - Oct 1 slide at $0.6357 and the 50-DMA at $0.6347.
- Moreover, NZD/USD seems to have completed an inverted head & shoulders bottom,
as it closed above the neckline/nearby fibo retracement at $0.6356/57 Friday,
while also finishing above its 50-DMA for the first time since Jul 29.
- Investors weigh PBoC Gov Yi's comment that the current lvl of yuan is
"appropriate" & China's confirmation that "phase 1" deal w/U.S. is in progress.
- NZ credit card data is due today; trade balance hits on Wednesday.

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