NZD/JPY Price Analysis: Bulls ease from daily highs, outlook still positive
|- The NZD/JPY currently trades at 90.40 posting a 0.23% uptick on the day.
- The Kiwi found momentum due to strong employment data reported during the Asian session.
- Daily chart indicators suggest a bullish momentum, with RSI on an upward trajectory in the positive zone and MACD depicting lower red bars.
- On the hourly chart, indicators hint at a pause in bullish impulse as they start to flatten in a bid to consolidate recent gains.
In Wednesday's session, the NZD/JPY stabilised at 90.40, after a surge to 90.70 as the pair found traction on the back of promising employment data from New Zealand reported earlier in the session. However, on the hourly chart, investors are moving to consolidate gains so the cross may side-ways trade for the remainder of the session.
The daily chart indicators reflect a noticeable bullish sentiment. The Relative Strength Index (RSI) reveals a strong buying momentum with its positive slope and presence in the positive territory. Additionally, the Moving Average Convergence Divergence (MACD) strengthens this view by presenting lower red bars indicating growing bullish dynamics. Furthermore, the pair sits comfortably above the 20,100,200-day Simple Moving Averages (SMAs), indicating the bulls hold the reins over the larger picture. The scenario highlights the ongoing attempts by the bulls to recapture lost ground after losing nearly 0.70% in the last two weeks.
NZD/JPY daily chart
On the other hand, assessing the shorter timeframe momentum, the hourly chart paints a slightly different picture. Here, the indicators suggest a pause in buying momentum, with investors likely consolidating gains after recent upward movements. The Relative Strength Index (RSI) appears flat, suggesting a standstill in the positive territory suggesting a slight advantage to buyers. Simultaneously, the four-hour Moving Average Convergence Divergence (MACD) displays red bars, suggesting that for the rest of Wednesday’s session, the cross may continue consolidating.
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