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NZD/USD extends slide below 0.6100 as US dollar consolidates gains

  • US dollar gains versus most of G10 currencies as Wall Street losses momentum.
  • NZD/USD is still bullish but unable to break critical resistance.

The NZD/USD pair broke below 0.6100 and fell to 0.6080, reaching the lowest in two days. The pair is holding below 0.6100, on negative territory for the second day in a row but up more than 150 pips for the week.

A stronger US dollar versus majors boosted further the ongoing correction in NZD/USD. The DXY is up 0.45% on Friday, as it continues to recover from the three-week lows it hit on Thursday.

Risk aversion earlier also affected the kiwi. Increasing risk of more tensions between the US and China weighed on market sentiment.

Technical outlook

The rally that started on Monday from weekly lows near 0.5900 ran into resistance at 0.6150 and lost strength. The NZD/USD is now making a bearish correction, so far, limited.

Technical indicators and the chart remains biased to the upside, particularly while above the 0.6060 area (20-day moving average). However, in order to clear the way to more gains, NZD/USD has to break and consolidate above the 0.6150 region.

Since early April, the pair has been moving sideways around 0.6050, with support above 0.5900 and resistance at 0.6150.  

NZD/USD

Overview
Today last price0.6091
Today Daily Change-0.0023
Today Daily Change %-0.38
Today daily open0.6114
 
Trends
Daily SMA200.6062
Daily SMA500.5994
Daily SMA1000.6225
Daily SMA2000.6323
 
Levels
Previous Daily High0.6151
Previous Daily Low0.6105
Previous Weekly High0.6157
Previous Weekly Low0.5921
Previous Monthly High0.6176
Previous Monthly Low0.5843
Daily Fibonacci 38.2%0.6123
Daily Fibonacci 61.8%0.6133
Daily Pivot Point S10.6096
Daily Pivot Point S20.6077
Daily Pivot Point S30.605
Daily Pivot Point R10.6142
Daily Pivot Point R20.6169
Daily Pivot Point R30.6188

Author

Matías Salord

Matías started in financial markets in 2008, after graduating in Economics. He was trained in chart analysis and then became an educator. He also studied Journalism. He started writing analyses for specialized websites before joining FXStreet.

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