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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.

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 price0.6056
Today Daily Change0.0016
Today Daily Change %0.26
Today daily open0.604
 
Trends
Daily SMA200.591
Daily SMA500.5922
Daily SMA1000.5999
Daily SMA2000.6096
 
Levels
Previous Daily High0.6044
Previous Daily Low0.5978
Previous Weekly High0.6055
Previous Weekly Low0.5863
Previous Monthly High0.6056
Previous Monthly Low0.5772
Daily Fibonacci 38.2%0.6019
Daily Fibonacci 61.8%0.6003
Daily Pivot Point S10.5997
Daily Pivot Point S20.5954
Daily Pivot Point S30.5931
Daily Pivot Point R10.6063
Daily Pivot Point R20.6087
Daily Pivot Point R30.613

Author

Akhtar Faruqui

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.

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