NZD/USD technical analysis: Bears challenging 0.6375 confluence support
|- Bulls failed to capitalize on the post-RBNZ upsurge to over one-week tops.
- Subsequent weakness might turn the pair vulnerable to retest 0.6300 mark.
The NZD/USD pair failed to capitalize on the previous session's post-RBNZ upsurge to over one-week tops and started retreating from a resistance marked by 61.8% Fibonacci level of the 0.6466-0.6322 recent downfall.
The intraday downfall has now dragged the pair to fresh session lows, around the 0.6375 confluence support, comprising of 200-hour SMA and 38.2% Fibo. level, which should act as a key pivotal point for short-term traders.
Meanwhile, technical indicators on hourly charts have been drifting lower in the bearish territory and lost positive momentum on the daily chart, shifting the near-term outlook back in favour of bearish traders.
Some follow-through selling below the mentioned confluence support will reinforce the negative bias and accelerate the slide back towards mid-0.6300s en-route weekly lows support near the 0.6325 region.
On the flip side, the 0.6400 handle, coinciding with 50% Fibo. level now seems to act as an immediate resistance, above which the stage seems set for a move towards challenging the 0.6440-50 heavy supply zone.
NZD/USD 1-hourly chart
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