What's helping to keep the kiwi underpinned?

The NZD is the top performer on the major bloc so far today - as it was on Friday

NZD/USD is testing session highs of 0.7017 right now. The range today has been small, only 26 pips - but the NZD is looking like it will put in another shift as the top dog of the major currencies bloc today.

While the pair is still stuck within a range as you can see on the daily chart above, what exactly is helping to prop up the NZD over the last two days?

As I highlighted here on Friday, it's mainly due to short covering in the kiwi through the AUD/NZD pair. Today, more NZD buying in the pair is helping to keep the kiwi underpinned for the time being.

The pair got rejected at the 100-day MA on Friday, and today's downward trend is confirming the downtrend as sellers take control of the pair. It is trading at 1.0919 now - and near-term support is from the 12 Dec low of 1.0861 - followed by the 200-day MA at 1.0831.

So, if you're looking at NZD pairs right now - be on the lookout for AUD/NZD in particular.