NZD/USD Price Analysis: Bulls attempt to reclaim 20-day SMA
- NZD/USD climbs on Tuesday, reaching 0.5655 as buyers gain traction.
- The pair tests the 20-day SMA at 0.5650, a key technical threshold.
- Momentum indicators show mixed signals, with bullish attempts facing resistance.
NZD/USD advanced on Tuesday, rising 0.31% to trade at 0.5655 as bulls attempted to regain control. The pair is currently testing the 20-day Simple Moving Average (SMA) at 0.5650, a level that has acted as a key resistance zone. A sustained hold above this mark could improve the near-term outlook, while failure to maintain upward pressure may leave the pair vulnerable to renewed selling.
Technical indicators offer a mixed perspective. The Relative Strength Index (RSI) has climbed sharply to 51, signaling improving bullish sentiment as it moves into positive territory. However, the Moving Average Convergence Divergence (MACD) histogram remains flat with green bars, suggesting that while selling pressure has eased, bullish momentum remains tentative.
Looking ahead, a decisive break above 0.5670 could open the door toward 0.5700, reinforcing a more constructive bias. On the downside, if the pair fails to hold the 20-day SMA, sellers may regain control, with immediate support emerging at 0.5620, followed by the 0.5600 psychological level.
NZD/USD daily chart
Author
Patricio Martín
FXStreet
Patricio is an economist from Argentina passionate about global finance and understanding the daily movements of the markets.
