#CurrencyPairPrediction Using Commodity Price Elasticity to Predict NZD/USD Moves Commodity price elasticity measures how sensitive New Zealand's export revenues—and consequently the NZD—are to changes in commodity prices. By analyzing this elasticity, traders can better predict NZD/USD movements: if the NZD shows high elasticity to a key commodity (like dairy), a small price increase can lead to a strong currency response. Understanding these relationships helps anticipate exchange rate shifts based on expected or actual commodity price changes, improving forecasting accuracy for NZD/USD trends.