NZD/USD Price Analysis: Bulls battle key hurdle above 0.7000
|- NZD/USD stays on the front foot near intraday high.
- Sustained break of seven-week-old trend line backs bulls to attack immediate resistance line, 200-DMA acts as the key barrier.
- Downside break of monthly horizontal support becomes crucial for seller’s entry.
NZD/USD picks up bids to 0.7017, up 0.47% intraday, following the RBNZ core inflation model-based data release on early Friday. In doing so, the Kiwi pair keeps the upside break of a downward sloping trend line from late May amid bullish MACD.
However, a short-term resistance line from late June guards the quote’s immediate upside around 0.7035.
Also challenging the NZD/USD bulls is the 200-DMA level of 0.7080, a break of which will rush to refresh the monthly top near 0.7105 ahead of challenging the early June’s low near 0.7125.
Meanwhile, a downside break of the previous resistance from late May, near 0.6980 should recall the bears but a confirmation from 0.6920 horizontal rest-zone will be needed to refresh the yearly low.
Overall, NZD/USD stays on the front foot, backed by good fundamentals, but needs a breakout to lure bulls.
NZD/USD: Daily chart
Trend: Further upside expected
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