NZD/USD Price Analysis: Moves around 0.6050 with a bullish sentiment

NZD/USD trades higher on the expectation that the Fed has ended its rate-hike cycle.
Technical indicators suggest a bullish sentiment to explore the psychological resistance around 0.6100.
23.6% Fibonacci retracement at 0.6004 could act as the support aligned with the nine-day EMA.

Akhtar Faruqui FXStreet

NZD/USD extends gains around three-month highs, trading around 0.6050 during the early European session on Tuesday. The selling pressure on the US Dollar (USD) continues, as there is increasing consensus that the Federal Reserve (Fed) has concluded its policy-tightening campaign. Market sentiment is now leaning towards the likelihood of rate cuts by the Fed starting in March 2024.

The 14-day Relative Strength Index (RSI) is above the 50 level, indicating a bullish sentiment for the NZD/USD pair. This could encourage bullish moves towards the psychological resistance level around 0.6100.

Moreover, the Moving Average Convergence Divergence (MACD) line, situated above the centerline and diverging above the signal line, is suggestive of a bullish momentum in the market.

On the downside, the 23.6% Fibonacci retracement at 0.6004 may serve as a crucial support level, followed by the nine-day Exponential Moving Average (EMA) at 0.5988. A decisive break below the EMA could potentially pave the way for the pair to test the 38.2% Fibonacci retracement at 0.5960, aligning with the significant level at 0.5950.

NZD/USD: Daily Chart

NZD/USD: Other technical levels to watch

Overview
Today last price	0.6056
Today Daily Change	0.0016
Today Daily Change %	0.26
Today daily open	0.604

Trends
Daily SMA20	0.591
Daily SMA50	0.5922
Daily SMA100	0.5999
Daily SMA200	0.6096

Levels
Previous Daily High	0.6044
Previous Daily Low	0.5978
Previous Weekly High	0.6055
Previous Weekly Low	0.5863
Previous Monthly High	0.6056
Previous Monthly Low	0.5772
Daily Fibonacci 38.2%	0.6019
Daily Fibonacci 61.8%	0.6003
Daily Pivot Point S1	0.5997
Daily Pivot Point S2	0.5954
Daily Pivot Point S3	0.5931
Daily Pivot Point R1	0.6063
Daily Pivot Point R2	0.6087
Daily Pivot Point R3	0.613

Author

Akhtar Faruqui

FXStreet

Akhtar Faruqui is a Forex Analyst based in New Delhi, India. With a keen eye for market trends and a passion for dissecting complex financial dynamics, he is dedicated to delivering accurate and insightful Forex news and analysis.

GBP/USD trims losses, approaches 1.3500

GBP/USD adds to the multi-day negative streak, although it has managed to bounce off earlier four-week lows near 1.3470 on Wednesday. Meanwhile, Cable’s deep correction comes despite the tepid performance in the Greenback and the persistent geopolitical concerns.

EUR/USD slips back toward 1.1580 on USD recovery

EUR/USD comes under some pressure and revisits the 1.1580 region as the NA session draws to a close on Wednesday. That said, spot adds to Tuesday’s bearish performance while the Greenback is slowly gathering steam and leaving behind earlier lows.

Gold keeps the recovery in place; focus is back to $4,400

Gold continues to regain ground lost and sets its target on the $4,400 mark per troy ounce on Wednesday. The yellow metal’s rebound comes amid modest losses in the US Dollar, steady geopolitical uncertainty and mixed US Treasury yields.

Bitcoin and Gold Outlook: BTC comes under pressure, XAU rebounds amid US-Iran strikes

Bitcoin (BTC) remains neutral-to-bullish, edging lower near $77,000 support on Wednesday. The largest cryptocurrency by market capitalization has been unable to sustain a recovery after being rejected around $81,500 last Friday. Meanwhile, its downside appears broadly protected due to an established moving average cluster.

BoC recap: Risks are shifting as Oil prices and US trade actions complicate outlook

The Bank of Canada (BoC) left its overnight interest rate unchanged at 2.25% on Wednesday, as widely anticipated, but delivered a more cautious message as inflation risks increased and the recovery became harder to assess.

Diesel’s record $100 warning: The oil shock hiding in plain sight

The Oil market may look calmer than it did a few months ago, but diesel is sending a very different message. The US diesel crack spread, the premium of ultra-low sulphur diesel futures over WTI, recently surged above $100 per barrel for the first time, reaching an intraday record of just over $102.00.