NZD/USD technical analysis: Kiwi may revisit 200-day MA hurdle
|- NZD/USD's hourly chart shows bullish indicator divergence.
- Kiwi may test former support-turned-resistance of the 200-day MA.
NZD/USD, which closed below the 200-day moving average (MA) hurdle on Tuesday, may revisit the former support-turned-resistance in the next few hours, as technical studies on the hourly chart are signaling seller exhaustion.
To start with, the relative strength index is flashing a bullish divergence. Further, the MACD histogram has turned bullish, having charted higher lows as opposed to lower highs on the NZD in the last 14 hours.
So, the pair may rise to the 200-day MA of 0.6715 before falling toward 0.6651 (61.8% Fib R of 0.6565/0.6791), as suggested by Tuesday's bearish marubozu candle.
The spot is currently trading at 0.6696.
Hourly chart
Trend: Minor bounce likely
Pivot points
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.