NZD/USD Price Analysis: Bulls struggle to sustain gains, outlook neutral
- NZD/USD failed to extend its gains and consolidated in a narrow range around 0.6140.
- The RSI has fallen back to 62, while the MACD is now showing decreasing green bars, indicating that the bullish momentum is slowing down.
- A break below 0.6130 could lead to a further decline towards 0.6100.
In Thursday's session, the NZD/USD declined by 0.30% to 0.6140, failing to sustain its gains as the bulls took a breather. The pair is facing a neutral technical outlook with the Relative Strength Index (RSI) declining and the Moving Average Convergence Divergence (MACD) printing decreasing green bars.
On the daily chart, the RSI has fallen back to 62, indicating a neutral market sentiment with moderate buying pressure. The decreasing green bars in the MACD suggest weakening bullish momentum, supporting the view of a potential consolidation or reversal. The volume has been decreasing over the past few sessions, suggesting that the current consolidation is likely to continue.
NZD/USD daily chart
The NZD/USD pair is facing immediate resistance at 0.6170. A consolidation above this level could open the door for a further rally to retest the 0.6200 zone. On the downside, immediate support lies in the range of 0.6130 and 0.6150. A break below 0.6130 could lead to a further decline towards 0.6100.
Author
Patricio Martín
FXStreet
Patricio is an economist from Argentina passionate about global finance and understanding the daily movements of the markets.
