Created
: 2025.09.19
- English
- English
- What's Myforex
- Share
- Use tools
- Get information
- What's New
- Help center
- About us
- Customer support
- Terms and policies
-
-
PortfolioShare your portfolio and performance in real time -
Events & contestsEvents and contests held by retail brokers around the world
-
-
Real-time spread comparisonCompare spreads of major retail brokers in real time -
Volatility analysisVisualize volatility as a measure of daily market activity -
Swap point comparisonCompare buy and sell swap values for each broker by symbol -
Market rates & chartsCheck prices for all instruments offered by each broker -
IndicatorsProviding in-house developed indicators for MT4/MT5 -
Trading calculatorsCalculation tools for each broker to help you trade
-
-
World FX newsLatest news on forex and cryptocurrencies from around the world -
Broker informationTrading information of retail brokers worldwide -
MetaTrader4/5 user guideUser guide collection for the latest MetaTrader4/5 -
Economic calendarRelease calendar for indicators from official sources of major economies
NZD/USD Price Forecast: USD bulls keep Kiwi pair below 200-day EMA
World FX news
Breaking news
NZD/USD Price Forecast: USD bulls keep Kiwi pair below 200-day EMA
New
2025.09.19 20:48
2025.09.19 20:48
2025.09.19 20:48
- NZD/USD falls to near 0.5855 as the US Dollar extends its winning streak.
- The Fed started its monetary easing campaign with a 25-bps interest rate reduction.
- Investors expect the RBNZ to cut interest rates again next month.
The NZD/USD pair slides to near 0.5855 during the late European trading session on Friday, the lowest level seen in 10 days. The Kiwi pair weakens as the US Dollar (USD) extends its recent recovery move, with the US Dollar Index (DXY) rising to near 97.60.
The US Dollar has been outperforming its peers since the monetary policy announcement by the Federal Reserve (Fed). On Wednesday, the Fed reduced interest rates by 25 basis points (bps) to 4.00%-4.25% and signaled that there will be two more interest rate cuts in the remainder of the year.
The Fed pivoted to unwinding the monetary policy restrictiveness as the United States (US) labor market conditions have deteriorated. "Demand for labour is down a little more sharply than supply of labour, and I can no longer say labor market is solid," Fed Chair Jerome Powell said.
Meanwhile, the broader outlook of the New Zealand Dollar (NZD) remains weak as traders expect the Reserve Bank of New Zealand (RBNZ) to cut interest rates again in the monetary policy meeting next month. In August, the RBNZ reduced its Official Cash Rate (OCR) by 25 basis points (bps) to 3%.
NZD/USD extends its winning streak for the third trading day on Friday. The Kiwi pair stays below the 200-day Exponential Moving Average (EMA), which trades around 0.5920, indicating that the overall trend is bearish.
The 14-day Relative Strength Index (RSI) falls to near 40.00. A fresh bearish momentum would emerge if the RSI breaks below that level.
Going forward, a downside move by the pair below the August 2 low of 0.5800 will expose it to the April 11 low of 0.5730, followed by the round-level support of 0.5700.
In an alternate scenario, the Kiwi pair would rise towards the June 19 high of 0.6040 and the September 11 low of 0.6100 if it manages to return above the psychological level of 0.6000.
NZD/USD daily chart
US Dollar FAQs
The US Dollar (USD) is the official currency of the United States of America, and the 'de facto' currency of a significant number of other countries where it is found in circulation alongside local notes. It is the most heavily traded currency in the world, accounting for over 88% of all global foreign exchange turnover, or an average of $6.6 trillion in transactions per day, according to data from 2022. Following the second world war, the USD took over from the British Pound as the world's reserve currency. For most of its history, the US Dollar was backed by Gold, until the Bretton Woods Agreement in 1971 when the Gold Standard went away.
The most important single factor impacting on the value of the US Dollar is monetary policy, which is shaped by the Federal Reserve (Fed). The Fed has two mandates: to achieve price stability (control inflation) and foster full employment. Its primary tool to achieve these two goals is by adjusting interest rates. When prices are rising too quickly and inflation is above the Fed's 2% target, the Fed will raise rates, which helps the USD value. When inflation falls below 2% or the Unemployment Rate is too high, the Fed may lower interest rates, which weighs on the Greenback.
In extreme situations, the Federal Reserve can also print more Dollars and enact quantitative easing (QE). QE is the process by which the Fed substantially increases the flow of credit in a stuck financial system. It is a non-standard policy measure used when credit has dried up because banks will not lend to each other (out of the fear of counterparty default). It is a last resort when simply lowering interest rates is unlikely to achieve the necessary result. It was the Fed's weapon of choice to combat the credit crunch that occurred during the Great Financial Crisis in 2008. It involves the Fed printing more Dollars and using them to buy US government bonds predominantly from financial institutions. QE usually leads to a weaker US Dollar.
Quantitative tightening (QT) is the reverse process whereby the Federal Reserve stops buying bonds from financial institutions and does not reinvest the principal from the bonds it holds maturing in new purchases. It is usually positive for the US Dollar.
Last updated
: 2025.09.19
Related articles
United States FX Today: The US Dollar between dissension at the Fed and an avalanche of speeches
2025.09.19 22:19EUR/GBP climbs to six-week highs as UK stagflation concerns weigh on Sterling
2025.09.19 22:19EUR is underperforming most G10 on softer data - Scotiabank
2025.09.19 20:53CAD is trading defensively on wider spreads - Scotiabank
2025.09.19 20:51USD extends post-FOMC gains - Scotiabank
2025.09.19 20:49NZD/USD Price Forecast: USD bulls keep Kiwi pair below 200-day EMA
2025.09.19 20:47
FXStreet is a forex information website, delivering market analysis and news articles 24/7.
It features a number of articles contributed by well-known analysts, in addition to the ones by its editorial team.
Founded in 2000 by Francesc Riverola, a Spanish economist, it has grown to become a world-renowned information website.
Was this article helpful?
We hope you find this article useful. Any comments or suggestions will be greatly appreciated.
We are also looking for writers with extensive experience in forex and crypto to join us.
please contact us at [email protected].
Thank you for your feedback.
Thank you for your feedback.
Most viewed
Silver Price Forecast: XAG/USD recovery holds above $41.50 as bulls eye $42.97 retest
Silver (XAG/USD) extends its recovery on Friday, building on Thursday's modest rebound after hitting its lowest level in over a week earlier this week.
New
2025.09.19 23:24United States FX Today: The US Dollar between dissension at the Fed and an avalanche of speeches
The US Dollar (USD) is up on Friday, with the US Dollar Index (DXY) trading at 97.74, up 0.4% on the session. The rebound from Wednesday's Federal Reserve (Fed) meeting is continuing.
New
2025.09.19 22:19EUR/GBP climbs to six-week highs as UK stagflation concerns weigh on Sterling
The Euro (EUR) extends gains against the British Pound (GBP) for the second day, with EUR/GBP surging to its highest level since August 7 despite stronger-than-expected UK Retail Sales data.
New
2025.09.19 22:19Gold steadies on Fed outlook, US Dollar strength caps gains
Gold (XAU/USD) steadies on Friday, snapping a two-day losing streak after a volatile midweek reaction to the Federal Reserve's (Fed) interest rate decision. At the time of writing, XAU/USD is trading around $3,650 at the start of the American session.
New
2025.09.19 21:18EUR is underperforming most G10 on softer data - Scotiabank
The Euro (EUR) is down 0.2% vs. the USD and a relative underperformer against most of the G10 currencies, Scotiabank's Chief FX Strategists Shaun Osborne and Eric Theoret report.
New
2025.09.19 20:53CAD is trading defensively on wider spreads - Scotiabank
The Canadian Dollar (CAD) is soft, trading defensively with a modest 0.1% decline against the US Dollar (USD), Scotiabank's Chief FX Strategists Shaun Osborne and Eric Theoret report.
New
2025.09.19 20:51USD extends post-FOMC gains - Scotiabank
The US Dollar (USD) remains well supported as it extends this week's postFOMC gains with broad strength against all of the G10 currencies with the exception of JPY, Scotiabank's Chief FX Strategists Shaun Osborne and Eric Theoret report.
New
2025.09.19 20:49NZD/USD Price Forecast: USD bulls keep Kiwi pair below 200-day EMA
The NZD/USD pair slides to near 0.5855 during the late European trading session on Friday, the lowest level seen in 10 days. The Kiwi pair weakens as the US Dollar (USD) extends its recent recovery move, with the US Dollar Index (DXY) rising to near 97.60.
New
2025.09.19 20:47USD/CNH: Any advance is unlikely to threaten the 7.1220 level - UOB Group
Further uptick in upward momentum may lead to US Dollar (USD) edging higher; any advance is unlikely to threaten the 7.1220 level. In the longer run, USD must break and hold below 7.0860 before further downside is likely, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.
New
2025.09.19 20:47USD/CHF extends beyond 0.7950 amid generalised Swiss Franc weakness
The US Dollar appreciates against the Swiss Franc for the third consecutive day, returning to levels beyond 0.7950 to regain most of the ground lost in the first half of the week.
New
2025.09.19 20:43Disclaimer:
All information and content provided on this website is provided for informational purposes only and is not intended to solicit any investment. Although all efforts are made in order to ensure that the information is correct, no guarantee is provided for the accuracy of any content on this website. Any decision made shall be the responsibility of the investor and Myforex does not take any responsibility whatsoever regarding the use of any information provided herein.
The content provided on this website belongs to Myforex and, where stated, the relevant licensors. All rights are reserved by Myforex and the relevant licensors, and no content of this website, whether in full or in part, shall be copied or displayed elsewhere without the explicit written permission of the relevant copyright holder. If you wish to use any part of the content provided on this website, please ensure that you contact Myforex.
Myforex uses cookies to improve the convenience and functionality of this website. This website may include cookies not only by us but also by third parties (advertisers, log analysts, etc.) for the purpose of tracking the activities of users. Cookie policy
