NZD/USD has been in a non-volatile bullish trend until the rejection today off the level of 0.7050. Yesterday, the GDT Price Index was published in New Zealand with a positive reading of 3.1% which previously was at 1.6%. After the GDT Price index had been revealed, NZD showed a good amount of bullish move towards the resistance at 0.7050. On the USD side, today we have Crude Oil Inventories report to be published which is expected to be at -1.0M versus the previous level -2.2M. If the USD report comes better than expected, then we might see USD gaining more strength over NZD in the coming days. Tomorrow, the CPI report will be released in New Zealand. The inflation rate is expected to rise to 0.8% which previously was at 0.4%. If these expectations are met, the volatility in this pair will increase tomorrow.

Now let us have a look at the technical picture. The price is currently rejecting the resistance at 0.7050. If the price remains bearish with a daily close today, then we will be looking forward to further bearish move in the coming days with a target towards 0.6900. On the other hand, if the price breaks above 0.7050 with a daily close, then we will be bullish with a target towards 0.7130 and 0.7250 in the coming days.