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NZD/USD holds ahead of the Fed's decision
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FXStreet Forex & Commodities News
NZD/USD trades nearly unchanged around the 0.5785 area on Tuesday, struggling to extend its earlier recovery despite a modest decline in the US Dollar (USD).
The pair rebounded from recent lows but lost momentum as investors avoided large positions ahead of Wednesday’s Federal Reserve (Fed) monetary-policy announcement.
However, cautious market sentiment and uncertainty surrounding the Fed’s guidance continue to limit the Kiwi’s recovery.
A hawkish message could strengthen the US Dollar and push NZD/USD back toward its recent lows, while cautious guidance could support another recovery attempt.
Technical Analysis:On the 4-hour chart, NZD/USD trades at 0.5788.