NZD/USD Price Analysis: Hovers above 0.6100 followed by 23.6% Fibonacci level
|- NZD/USD gains ground on improved risk appetite.
- The pair could reach the 23.6% Fibonacci retracement at 0.6125 and the 50-day EMA of 0.6136.
- A break below the psychological support of 0.6100 could lead the pair to revisit the weekly low at 0.6038.
NZD/USD trades higher for the third straight session around 0.6110 during the early European session on Thursday. The NZD/USD pair could find the resistance zone around the 23.6% Fibonacci retracement at 0.6125 followed by the 50-day Exponential Moving Average (EMA) of 0.6136.
A breakthrough above the 50-day EMA could support the pair to explore the area around 0.6150 followed by the 38.2% Fibonacci retracement at 0.6179. If the NZD/USD pair breaches the latter, it could test the psychological resistance of the 0.6200 level.
The technical analysis for the NZD/USD pair indicates a tepid momentum in the market. The Moving Average Convergence Divergence (MACD) line is positioned on the centerline, showing divergence below the signal line. However, the lagging indicator 14-day Relative Strength Index (RSI) lies below the 50 level, suggesting a weaker sentiment for the NZD/USD pair.
On the downside, immediate support for the NZD/USD pair is identified at the psychological level of 0.6100. A decisive break below this level could exert downward pressure, leading the pair to revisit the major support at 0.6050 before the weekly low at 0.6038. The bearish sentiment could lead the pair to navigate the region around the psychological support at 0.6000.
NZD/USD: Daily Chart
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