- NZD/USD is trapped in a falling channel on the 4-hour chart.
- A breakout looks likely as key indicators are reporting seller exhaustion.
NZD/USD is currently trading at session lows near 0.6430, having faced rejection at the upper edge of the falling channel in the late US trading hours.
On the daily chart, the relative strength index is reporting oversold conditions. Further, the moving average convergence divergence histogram is printing higher lows, a sign the bearish momentum has weakened.
So, the pair is likely to see a bearish channel breakout on the 4-hour chart in the next few hours.
A break above the upper edge of the falling channel, currently at 0.6447, would confirm the breakout and open the doors to levels above 0.65.
On the downside, acceptance below 0.6422 would expose the recent low of 0.6377.
Trend: Bullish above 0.6447
- R3 0.6496
- R2 0.6478
- R1 0.6463
- PP 0.6445
- S1 0.643
- S2 0.6412
- S3 0.6397
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.