NZD/USD technical analysis: 21/50 hourly EMAs challenge latest pullback

5-day long support-line triggered the NZD/USD pair’s pullback.
Short-term exponential moving averages (EMAs) limit the upside.
RSI on the recovery mode from oversold conditions.

Anil Panchal FXStreet

Even after bouncing off 5-day old support-line, NZD/USD is yet to offer a successful rise past key immediate EMAs as it trades near 0.6710 during early Wednesday morning in Asia.

With the 14-bar relative strength index (RSI) rising from oversold conditions, odds are in favor of the pair’s extended recovery towards latest high surrounding 0.6740. However, sustained trading beyond 0.6709/11 resistance confluence is a must for buyers to follow.

During the pair’s further upside beyond 0.6740, mid-April tops near 0.6785 can become bulls’ favorite.

Alternatively, a downside break of 0.6700 support-line can fetch the quote to 50% and 61.8% Fibonacci retracement of last one-week up-moves, around 0.6653 and 0.6633 respectively.

In case sellers dominate after 0.6633, 0.6600 and previous week low near 0.6570 could lure them.

NZD/USD hourly chart

Trend: Bullish

1. R3 0.6773
2. R2 0.6756
3. R1 0.6728
PP 0.6711
1. S1 0.6684
2. S2 0.6667
3. S3 0.6639

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

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