NZDUSD Technical Analysis: The NZD/USD pair is trading in a bearish trend today, as the pair recorded a high of 0.5883 and a low of 0.5847, and is currently standing at 0.5874. The technical analysis shows that the pair is facing continuous selling pressure, with prices falling below most of the moving average indicators, indicating the continuation of the downtrend, despite some signs of weakness in this trend.
NZDUSD Technical Analysis: Technical Analysis
- Moving Averages:
The pair is currently trading below the main moving averages (SMA) levels in the short and long term. The pair is showing continuous trading below the moving average as well as the daily moving average. This reinforces the bearish trend signal and reflects the dominance of selling pressure on the pair at the moment.
- MACD Indicator:
The MACD indicator indicates a bearish trend with the main line trading below the signal line, reinforcing the negative trend. However, there are some signs of weakness in the selling momentum, as some weak crossovers appear on the indicator that may indicate a decline in the strength of the negative trend in the short term. This may indicate the possibility of a limited upward rebound or a decline in the pace of the decline.
Expectations:
- If the pair continues to trade below the moving averages, the general trend remains bearish. The pair may continue to test the nearby support levels at 0.5847, and if this level is broken, the decline is expected to extend towards lower support levels such as 0.5800.
- On the other hand, in case of an upward rebound, this requires a break of the 0.5883 level first, then retesting the moving averages as resistance levels. However, in light of the weak selling momentum shown on the MACD indicator, the downside trend remains the most likely at the moment.
Trading strategies based on Buy/Sell levels
| NZDUSD | In case of buying | in case of selling |
| Entry point | 0.5900 | 0.5859 |
| Target Point 1 (TP1) | First resistance: 0.5914 | First support: 0.5836 |
| Target Point 2 (TP2) | Second resistance: 0.5929 | Second support: 0.5810 |
| Stop Loss (SL) | 0.5859 | 0.5900 |
The NZD/USD pair is currently trading in a bearish trend with prices trading below the major moving averages, and the MACD indicator is indicating a continuation of the negative trend. However, there are some signs of weakness in the selling trend, which could open the door to temporary upward corrections. Nevertheless, the overall trend remains bearish, and the pair is expected to continue testing nearby support levels in the short-term.
