NZD/JPY Price Analysis: Consolidating in neutral terrain, 20-day SMA remains the one to watch
- NZD/JPY continues to trade sideways using the 20-day SMA as a support.
- RSI and MACD are sending mixed signals.
- Buyers and sellers remain indecisive which favours a neutral outlook.
In Thursday's session, the NZD/JPY pair rose by 0.45% to 90.95, continuing the sideways movement seen in the past few sessions.
The daily Relative Strength Index (RSI) is currently at 54, indicating that the pair is in neutral territory. However, the RSI is rising, suggesting that buying pressure is steady. In addition, the Moving Average Convergence Divergence (MACD) histogram is red confirming a bearish presence.
Regarding the overall outlook, the 20,100 and 200-day SMAs seem to be converging to the 92.00 area to perform a crossover which might define the short-term trajectory. In the meantime, the 20-day SMA continues serving as a solid support and bears continue to battle with it and seem to be struggling to conquer it. Overall price action continue to side-ways trade and neither bulls nor bears are clear dominants, at least for the short term.
Support levels can be found at 90.50, 90.30 and 90.00, while resistance levels lie at 92.00, 92.50 and 93.00.
NZD/JPY daily chart
Author
Patricio Martín
FXStreet
Patricio is an economist from Argentina passionate about global finance and understanding the daily movements of the markets.
