NZD/USD Price Analysis: Bulls battle 50-DMA on the way to 0.6860

NZD/USD extends the previous day’s rebound to refresh one-week high.
Clear break of three-week-old descending trend line, bullish MACD and firmer RSI favor bulls.
Weekly support line, October 2020 high will challenge bears.

Anil Panchal FXStreet

NZD/USD pierces 50-SMA to refresh weekly top around 0.6800 during early Wednesday.

The kiwi pair’s latest run-up could be linked to the sustained break of a descending trend line from November 18. Also favoring the pair buyers are the bullish MACD signals and firmer RSI line, not overbought.

It should be noted, however, that a clear run-up past 50-SMA level of 0.6805 becomes necessary for the NZD/USD prices to aim for a 10-week-old horizontal area surrounding 0.6860-65, a break of which will recall the 0.6900 threshold to the charts.

Should NZD/USD fades upside momentum, the previous resistance line near 0.6785 will precede the recent lows near 0.6735 and the 0.6700 round figure to lure the short-term sellers.

Additionally, the quote’s bearish impulsive past-0.6700, it becomes vulnerable to slump towards the November 2020 lows near 0.6590 will be in focus.

To sum up, NZD/USD rebound need validation before convincing the bulls.

NZD/USD: Four-hour chart

Trend: Further upside expected

Additional important levels

Overview
Today last price	0.6798
Today Daily Change	0.0011
Today Daily Change %	0.16%
Today daily open	0.6787

Trends
Daily SMA20	0.691
Daily SMA50	0.7003
Daily SMA100	0.7009
Daily SMA200	0.7065

Levels
Previous Daily High	0.6788
Previous Daily Low	0.6736
Previous Weekly High	0.6868
Previous Weekly Low	0.6741
Previous Monthly High	0.7199
Previous Monthly Low	0.6773
Daily Fibonacci 38.2%	0.6768
Daily Fibonacci 61.8%	0.6756
Daily Pivot Point S1	0.6752
Daily Pivot Point S2	0.6718
Daily Pivot Point S3	0.67
Daily Pivot Point R1	0.6804
Daily Pivot Point R2	0.6822
Daily Pivot Point R3	0.6856

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

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