NZD/USD fights back to 0.7250, but fails to capture

• Kiwi climbs in Monday action, but the move seems to have run out of gas early.
• The US Dollar is driving broad markets ahead of the Fed's interest rate decision on Wednesday.

The NZD/USD is back to 0.7240 after reaching a peak of 0.7260 in Monday's trading. 

Everybody's waiting for the Fed

The Kiwi climbed along with most other risk-based currencies as the Dollar softens ahead of the FOMC's interest rate decision on Wednesday. The risk-positive movement began to sour towards the end of New York trading, but the Kiwi seems to have bolstered itself back up and halted the decline after the Westpac consumer survey, which came out at 111.2 versus the previous 107.4. Economic conditions within New Zealand continue to struggle to find a quicker pace of growth, but slowly-improving conditions are beginning to leave consumers in a cautiously hopeful position.

The Global Dairy Trade (GDT) auction takes place during the London session, and although the GDT hasn't had much of an impact on the NZD lately, futures are pointing to a 2% decline in whole milk powder, which could expose the Kiwi to further weakness is risk appetite happens to sour in the broader markets.

NZD/USD Technicals

Monday's bullish action has brought the pair back from the brink, and a triple-bottom may be forming if the bulls are able to push higher; a failure to hold at the current levels will see support from the 200-day SMA at 0.7185 and this week's low of 0.7195, while a continuation up the chart will see resistance at late February's swing high of 0.7280 and March's high of 0.7355.