- NZD/USD remains under pressure in the initial European trading hours.
- Bulls find strong support near the 0.6960 level.
- Momentum oscillator holds onto the oversold zone with negative bias.
NZD/USD edges lower on the fresh trading week in the European trading hour. The pair started the new month of trading on a lower note.
At the time of writing, NZD/USD is trading at 0.6968, down 0.07% for the day.
NZD/USD 4-hour chart
-637634812163597507.png)
On the 4-hour chart, after testing the high of 0.7022 high, which also forms the double top technical formation of a bearish pattern, finds support near the 0.6960 level.
That said, If NZD/USD is sustained above 0.6960, it could find the first resistance near the 23.6% Fibonacci retracement level, which extends from the low of 0.6881, at 0.6987.
The next upside target for the bulls could be stationed at the 0.7000 horizontal resistance level.
A pass above the 0.7000 psychological mark would make it easy for the NZD/USD bulls to conquer the high of July 30 at 0.7022.
The Moving Average Convergence Divergence (MACD) indicator trades in an overbought zone. Any downtick in the MACD could trigger more selling opportunities in the pair.
NZD/USD would test the 50% Fibonacci retracement at 0.6951. The price will then march toward the 0.6935 horizontal support level.
The next area of support would be the low of July 28 of 0.6901.
NZD/USD additional levels
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
Recommended content
Editors’ Picks
EUR/USD clings to daily gains above 1.0650
EUR/USD gained traction and turned positive on the day above 1.0650. The improvement seen in risk mood following the earlier flight to safety weighs on the US Dollar ahead of the weekend and helps the pair push higher.
GBP/USD recovers toward 1.2450 after UK Retail Sales data
GBP/USD reversed its direction and advanced to the 1.2450 area after touching a fresh multi-month low below 1.2400 in the Asian session. The positive shift seen in risk mood on easing fears over a deepening Iran-Israel conflict supports the pair.
Gold holds steady at around $2,380 following earlier spike
Gold stabilized near $2,380 after spiking above $2,400 with the immediate reaction to reports of Israel striking Iran. Meanwhile, the pullback seen in the US Treasury bond yields helps XAU/USD hold its ground.
Bitcoin Weekly Forecast: BTC post-halving rally could be partially priced in Premium
Bitcoin price shows no signs of directional bias while it holds above $60,000. The fourth BTC halving is partially priced in, according to Deutsche Bank’s research.
Week ahead – US GDP and BoJ decision on top of next week’s agenda
US GDP, core PCE and PMIs the next tests for the Dollar. Investors await BoJ for guidance about next rate hike. EU and UK PMIs, as well as Australian CPIs also on tap.