You are here: Home > articles > Forex > Technical Analysis – NZDUSD in strong battle with 61.8% Fibonacci
Technical Analysis – NZDUSD in strong battle with 61.8% Fibonacci
August 29, 2023 2:30 pmVideo
Latest News
- Analysis of the GBP/USD pair on April 18, 2024 April 18, 2024
- Analysis for EUR/USD pair on April 18th. Dull ending to a dull week April 18, 2024
- USD/JPY: Simple trading tips for novice traders on April 18th (US session) April 18, 2024
- GBP/USD: Simple trading tips for novice traders on April 18th (US session) April 18, 2024
- EUR/USD: Simple trading tips for novice traders on April 18th (US session) April 18, 2024
- GBP/USD: trading plan for the US session on April 18th (analysis of morning deals) April 18, 2024
- Trading Signals for EUR/USD for April 18-20, 2024: buy above 1.0641 (21 SMA – 2/8 Murray) April 18, 2024
- Bitcoin slides ahead of halving event – Crypto News April 18, 2024
- Trading Signals for BITCOIN (BTC/USD) for April 18-20, 2024: buy above $62,500 or $63,037 (4/8 Murray – rebound) April 18, 2024
- GBP/USD. April 18th. Andrew Bailey did not clarify the situation on QE April 18, 2024
- Trading Signals for GOLD (XAU/USD) for April 18-20, 2024: buy above $2,375 (6/8 Murray – 21 SMA) April 18, 2024
- Technical Analysis – Netflix stock moves within narrow range ahead of earnings April 18, 2024
- Technical Analysis – GBPUSD tries to recoup some losses April 18, 2024
- USD/JPY in crisis April 18, 2024
- EUR/USD: trading plan for US session on April 18. EUR gets stuck at 1.0686 April 18, 2024
- Fed to keep policy tight for longer than markets view April 18, 2024
- Technical Analysis – BTCUSD drops to 6-week low as halving looms April 18, 2024
- Midweek Technical Look – EURUSD, US 500, WTI April 18, 2024
- Technical Analysis – AUDJPY pulls back but stays in uptrend April 18, 2024
- Forex forecast 04/18/2024: EUR/USD, USD/JPY, Oil and Bitcoin from Sebastian Seliga April 18, 2024
NZDUSD experienced a vast selloff after posting a fresh five-month high of 0.6410 in mid-July. However, in the last few sessions , the bulls have been giving a strong fight around 0.5902, which is the 61.8% Fibonacci retracement of the 0.5510-0.6536 upleg, in an effort to curb the steep decline.
The short-term oscillators are starting to reflect that the latest retreat could be overstretched. The RSI is touching its 30-oversold mark, while the stochastics have entered their 20-oversold territory.
Should the pair bounce off the 61.8% Fibo of 0.5902 and pierce through the descending trendline that connects a series of lower highs, initial resistance could be found at the 50.0% Fibo of 0.6023. A successful jump above the latter could open the door for the 38.2% Fibo of 0.6144. Conquering this barricade, the bulls may attack the 23.6% Fibo of 0.6294.
Alternatively, if the price extends its decline, the 78.6% Fibo of 0.5730 could act as the first line of defence. Should that obstacle fail, the September 2022 support of 0.5598 could prove to be the next hurdle for sellers to clear. Failing to halt there, the price might then descend towards the October 2022 bottom of 0.5510.
Overall, despite the hard battle around 0.5900, it seems that NZDUSD is struggling very hard to find its footing. Hence, a clear close below that region could re-fuel the latest decline.
Related Posts: