NZD/JPY Price Analysis: Failure around 76.70s put sellers in control as the pair heads towards 76.00

The commodity-linked New Zealand dollar ended Friday’s session with losses of 0.69%.
The NZD/JPY retracement from weekly tops could lead to further losses below 76.00.

Christian Borjon Valencia FXStreet

The NZD/JPY slumps for the second time in the week as traders get headed into the weekend. As Wall Street closed and thin liquidity conditions hit the FX market, the NZD/JPY is trading at 76.17 at the time of writing.

On Friday, Wall Street closed with gains, led by the Nasdaq, and the S&P 500, up 1.37% and 0.52%. Meanwhile, the Dow Jones Industrial finished flat in the day.

In the FX market, the low-yielder EUR was the gainer of the session, while the commodity currencies led by the AUD, CAD, and NZD were the principal losers, down 0.80%, 0.70%, and 0.69%, each.

NZD/JPY Price Forecast: Technical outlook

Putting Friday’s recap on the side, the NZD/JPY, as abovementioned, finished the week with losses but clung to the 76.00 figure. It is worth noting that the daily moving averages (DMAs) reside above the spot price, suggesting the pair might be headed downwards. Additionally, the failure of an upbreak of an upslope trendline drawn from August 2021 lows previous support-turned-resistance exacerbated the retracement from weekly tops near 76.80s towards the 76.10 area.

That said, the NZD/JPY first support would be 76.00. Breach of the latter would send the pair tumbling to February 3 low at 75.57, followed by January 26 cycle and YTD low at 75.21, a zone that could witness some buying pressure, before reaching 2021 yearly low at 74.55.

NZD/JPY

Overview
Today last price	76.14
Today Daily Change	-0.38
Today Daily Change %	-0.50
Today daily open	76.52

Trends
Daily SMA20	76.99
Daily SMA50	77.31
Daily SMA100	78.43
Daily SMA200	78.07

Levels
Previous Daily High	76.7
Previous Daily Low	75.59
Previous Weekly High	76.67
Previous Weekly Low	75.24
Previous Monthly High	79.24
Previous Monthly Low	75.24
Daily Fibonacci 38.2%	76.27
Daily Fibonacci 61.8%	76.01
Daily Pivot Point S1	75.84
Daily Pivot Point S2	75.16
Daily Pivot Point S3	74.73
Daily Pivot Point R1	76.95
Daily Pivot Point R2	77.38
Daily Pivot Point R3	78.06

Author

Christian Borjon Valencia

FXStreet

Markets analyst, news editor, and trading instructor with over 14 years of experience across FX, commodities, US equity indices, and global macro markets.

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