The New Zealand Dollar (NZD) ended the week on a negative note, tallying a three-day losing streak against the US Dollar (USD). Despite attempts to rally, the pair stabilized at 0.6115, failing to maintain upward traction. The outlook for the NZD/USD pair remains bearish, with a crucial level at 0.6150, the position of the 20-day Simple Moving Average (SMA), that needs to be surpassed to change the prevailing sentiment.
The Relative Strength Index (RSI) on the daily chart for the NZD/USD pair is at 49, indicating a shift towards bearish momentum. The Moving Average Convergence Divergence (MACD) is also increasing its red bars, showing an increased seller presence in the market. Immediate support for the NZD/USD pair can be found near the 0.6100 level, with additional support at the 100-day SMA at 0.6070 and the 200-day SMA at 0.6060. These levels could provide strong defense against further downside movement.
On the upside, the first resistance level is at the 20-day SMA at 0.6150, with higher resistances at 0.6170 and 0.6200. A decisive breakout above these levels could signal a shift in market sentiment favoring the bulls. Overall, the NZD/USD pair is currently in a bearish trend, with the need for a clear break above key resistance levels to reverse the current sentiment. Traders will be closely watching the movement of the pair in the coming days for potential trading opportunities.
In conclusion, the NZD/USD pair concluded the week with a three-day losing streak, ending on a negative note at 0.6115. The unsuccessful attempt to rally and maintain gains solidified the bearish sentiment for the Kiwi. Key levels to watch include the 20-day SMA at 0.6150 as a crucial resistance level and support levels at 0.6100, 0.6070, and 0.6060. Traders will be monitoring the RSI and MACD indicators for signals of market momentum and potential shifts in market sentiment. Stay tuned for further updates on the NZD/USD pair as it navigates through the current bearish trend.
