NZDUSD has moved back towards yesterday's......>

KIWI: NZDUSD has moved back towards yesterday's session high, last trading at

0.7315, while the kiwi has also outperformed the AUD in the early part of

Tuesday's session.

- The NZD continues to trade in a resilient manner vs. USD, as the US' twin

deficits have crimped demand for the greenback, outweighing the interest rate

differential erosion between NZ & the US, the trade war backdrop & increased

volatility of financial markets, all of which would normally weigh on the kiwi.

- From a technical perspective NZDUSD's 21-DMA ($0.7296) remains a stumbling

block with the failure to gain traction above a concern for bulls. The $0.7243

support is key this week with bears needing a close below to shift initial focus

back to the 200-DMA. Bears need a close below the 200-DMA to hint at a move back

to Dec lows with below $0.7042 needed to confirm. Bulls now need a close above

$0.7323 to confirm focus on 2018 highs.