NZDUSD Technical Analysis: The New Zealand Dollar pair is trading in a bearish trend today, as the pair recorded its highest price so far at 0.5864, and the lowest price at 0.5796, while it is currently trading at 0.5837. This movement reflects the presence of bearish momentum in the market, but technical analysis indicates that the strength of this trend is weak, which opens the door to the possibility of upward corrections in the near future.
NZDUSD Technical Analysis: Analysis of Trading Prices
By analyzing the price action, it appears that the pair is trading below the main moving averages, which indicates the continuation of the downward trend in the short term. Trading the pair below these moving averages reflects the relative control of sellers over the market, which enhances the possibility of the continuation of the downward movement in the event that there are no changes in the momentum.
Technical Analysis
Moving Averages:
Prices that trade below moving averages, such as the moving average, support the downward trend in the short term. The price being below these levels indicates that the downtrend is currently dominant, and increases the possibility of continued negative pressure on the pair during the coming period.
MACD Indicator Analysis:
MACD indicates a negative trend, as signs of weakness in the downward momentum appear. Although the indicator reflects a negative state in the market, the weakness of this trend may indicate the possibility of an imminent upward correction. The MACD line crossing above the signal line may be a signal of the beginning of a reversal in the upward direction, opening the way for an opportunity to rise.
Trading Expectations:
Based on the current technical analysis, the NZD pair is expected to remain in a downward trend in the short term, but with a weakening in the strength of this trend. In the event of an additional decline, the pair may face support at the levels of 0.5796 and 0.5740. However, the weak MACD indicator may lead to a potential upward correction in the event of a change in momentum, which increases the possibility of the price returning to higher levels if it manages to exceed the resistance of 0.5864.
Trading strategies based on Buy/Sell levels
| NZDUSD | In case of buying | in case of selling |
| Entry point | 0.5848 | 0.5829 |
| Target Point 1 (TP1) | First resistance: 0.5855 | First support: 0.5818 |
| Target Point 2 (TP2) | Second resistance: 0.5868 | Second support: 0.5789 |
| Stop Loss (SL) | 0.5829 | 0.5848 |
Although the NZD/USD pair is showing a bearish trend in the short term, the weakening negative momentum as shown by the MACD and moving averages may open the way for bullish corrections in the near future. Key support and resistance levels should be monitored.
as any change in momentum could lead to bullish moves if strong reversal signals appear.
