NZD/USD Price Analysis: Edges lower past 0.6200 within monthly triangle
|- NZD/USD consolidates the previous day’s recovery inside one-month-old symmetrical triangle.
- Impending bull cross on MACD, sustained trading beyond 100-EMA keeps Kiwi buyers hopeful.
- Bears need to conquer 0.6200 to retake control, bulls can aim for 0.6310 on breakout.
NZD/USD clings to mild losses around 0.6190 as it reverses the previous day’s rebound heading into Thursday’s European session. In doing so, the Kiwi pair retreats within a one-month-old symmetrical triangle, funning down towards the breakout points of late.
That said, the early Thursday’s Gravestone Doji candlestick on the four-hour chart joins the downbeat sentiment to exert downside pressure on the NZD/USD price.
Suggesting another attempt to break the 100-bar Exponential Moving Average (EMA) surrounding 0.6155.
Following that, the stated triangle’s bottom line of near 0.6150 and a one-month-long horizontal support zone surrounding 0.6100 will lure the NZD/USD bears.
Meanwhile, the 61.8% Fibonacci retracement of its May 11-31 downside, near 0.6230, guards the immediate upside of the NZD/USD pair, a break of which will highlight the aforementioned triangle’s top line, close to 0.6240 at the latest.
In a case where the Kiwi pair manages to remain firmer past 0.6240, the late May swing high of around 0.6310 can act as an extra filter towards the north before giving control to the bulls.
To sum up, NZD/USD pair is suggesting an intraday fall but the overall bullish bias remains intact.
NZD/USD: Four-hour chart
Trend: Upside expected
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.