NZD/USD down -0.35% on the day after Yellen's hawkish/bullish comments

Currently, NZD/USD is trading at 0.7150, down -0.35% on the day, having posted a daily high at 0.7199 and low at 0.7134.

US Dollar reaches fresh highs near 101.40 on Yellen

NZD/USD has been hit hard on the back of Yellen recent rhetoric and comments made when she gave her "Humphrey Hawkins" testimony before the Senate Banking Committee today. She will also make an appearance before the House Financial Services Committee tomorrow.

• Fed's Yellen: Some policies being discussed in Washington may raise deficits or help productivity
• Fed's Yellen: Will wait to gain further clarity on economic policy changes
• Waiting too long to tighten would be unwise - Fed's J.Yellen
• More rate hikes may be appropriate in upcoming meetings - Fed's J.Yellen
• Fed's Yellen agrees with core principles of Trump's executive order on financial reform

There has been a resurgence in the dollar bulls as a result that had already started breaking down the doors on the 100 handle at the start of this week. Markets had failed to find solutions elsewhere to their hunt for yield and safer havens so took back to stocks reaching all-time highs in an exodus from bonds creating demand for the dollar from rising yields. The bird, in its own right, had otherwise been firm on the back of positive outlooks for the NZ economy that has been performing above expectations - the RBNZ is on hold, albeit with an air of caution around the shifts on populism around the world that could harm word trade in time to come. 

NZD/USD levels

The 200-d sma has been taken out on this move and risks are to the smoothed-ma on the same time frame located currently at 0.6987 on the wide in a 90% reversal of the Dec bullish trend from 0.6860. This meets the Nov double bottom and could be a tough area of support. To the upside, a break though 0.7200 would pen risk towards the recent highs of 0.7374 of 6th of Feb.