English
NZD/USD Price Analysis: Additional Losses Beyond 0.6100 Appear Impulsive
NZD/USD remains under pressure after reversing from a one-week high, as trading is halted due to the New Zealand holiday. The failure to prolong the rebound from the seven-month low keeps Kiwi bears optimistic. RSI and MACD conditions encourage further losses, but the 10-DMA and prior support line prevent purchasers from gaining control.
NZD/USD fades rebound from the lowest levels in seven months, maintaining the previous day's retreat, as it maintains lower ground near 0.6060 in Asia on Monday morning. In doing so, the Kiwi pair illustrates the quote's incapacity to defend the previous week's corrective bounce off the multi-day low in the absence of a crossing of the key support-turned-resistance line and the 10-day moving average.
In addition to the 10-DMA and the previous support line from November 2022, which are located near 0.6060 and 0.6110, respectively, the absence of New Zealand (NZ) traders in Auckland due to the holidays allows the Kiwi pair to continue extending the previous losses.
Notwithstanding, the nearly oversold RSI (14) line and the impending bull cross on the MACD permit the NZD/USD to recoup previous losses if the quote manages to remain sturdier beyond the aforementioned key resistances, namely near 0.6060 and 0.6110.
In the event that the NZD/USD exchange rate remains firmer than 0.6110, a run-up to the mid-May swing low near 0.6185 cannot be ruled out.
After that, the 19 May peak near 0.6310 could attract Kiwi pair purchasers before directing them to a four-month-old horizontal resistance area near 0.6390.
In contrast, pullback moves may initially target the 50% Fibonacci retracement level of its October 2022 to February 2023 uptrend, around 0.6025, prior to testing the 0.6000 round number.
It is important to note that the NZD/USD must maintain a price level below the 0.5985 swing low in order for bears to remain in control.
Bonus rebate to help investors grow in the trading world!
