The NZDUSD moved higher today, helped by the better China news overnight.
Technically, the pair moved above a cluster of moving averages including the 200 day, 100 hour, 100 day and 200 hour moving averages in rapid succession in the Asian session.
That opened the door for a run toward the swing area between 0.6252 and 0.62717. The high price reached 0.62748 before rotating to the downside on increased dollar buying in the US session.
However, the move higher has returned after the dip fell short of the high MA below (200 hour MA at 0.62107).
Recall, on Feb 21, the RBNZ raised rates by 50 basis points. If China is picking up growth, and with the NZ in rebuilding cycle to the Cyclone, that should keep pressure on the RBNZ to reign in inflation.
It would now take a move back below those MAs (starting with the 200 hour MA), to tilt the bias back down.
On the topside, a break of 0.62717 would target the 38.2% at 0.62855. That would be the minimum retracement target to get to and through.
