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.

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