NZD/USD bears are preparing for a challenge of 0.62
The NZD/USD exchange rate is strong yet susceptible to market mood swings. This is a hectic week for the dollar in the United States. NZD/USD is up around 0.1 percent in Tokyo's opening hour and has moved from a low of 0.6193 to a high of 0.6216.

Pessimism over the global economic outlook increased demand for the safe-haven U.S. dollar, while the rally in stocks supported high beta currencies such as the New Zealand dollar.
"Despite recouping 40bps from the night's low, it finished below 0.62. This was not only another record low close for 2022, but also a clear break of 0.6230 (first violated on Thursday), which is the 61.8 percent Fibonacci retracement level of the 2020/21 rise from 0.5470 to 0.7463, according to ANZ bank analysts. Technically speaking, this is a cause for concern, since the USD DXY continues to rise amid mounting worries of a US recession.
The Federal Reserve minutes, ISM Services, and Nonfarm Payrolls are slated for release this week, which will be another significant one for the US currency.
"It will likely be another week dominated by global events and technicals, but next week's Reserve Bank of New Zealand MPR will hopefully bring the emphasis back onshore," ANZ Bank analysts said.
Analysts at TD Securities anticipate that June's Nonfarm Payrolls report would indicate that employment continues to grow solidly, but at a slower rate than the previous three months, when over 400k jobs were added. Meanwhile, the Federal Reserve's June meeting minutes will also be examined.
The Fed increased the rate of rate tightening in response to persistently high CPI inflation and early evidence of de-anchoring inflation expectations. The meeting minutes are expected to shed further light on the Fed's more hawkish response function, according to TD Securities analysts.
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