You are here: Home > articles > Forex > Technical Analysis – NZDUSD eyes descending line following touch on 1-week low
Technical Analysis – NZDUSD eyes descending line following touch on 1-week low
May 16, 2019 9:26 amVideo
Latest News
- Energy in Focus: What news awaits investors on Wall Street April 15, 2024
- Forecast for EUR/USD on April 15, 2024 April 15, 2024
- Forecast for GBP/USD on April 15, 2024 April 15, 2024
- Forecast for USD/JPY on April 15, 2024 April 15, 2024
- Outlook for EUR/USD on April 15. The euro is already falling for no apparent reason! April 15, 2024
- Trading plan for GBP/USD on April 15. Simple tips for beginners April 15, 2024
- Trading plan for EUR/USD on April 15. Simple tips for beginners April 15, 2024
- Euro will return to parity April 12, 2024
- Trading Signals for ETH/USD (Ethereum) for April 12-15, 2024: buy above $3,435 (3/8 Murray – 200 EMA) April 12, 2024
- EUR/USD. Analysis for April 12th. The euro falls down under the pressure of the news background April 12, 2024
- GBP/USD. Analysis for April 12th. A significant event: the pound fell below the 25-figure April 12, 2024
- Trading Signals for EUR/USD for April 12-15, 2024: buy above 1.0620 (-2/8 Murray – rebound) April 12, 2024
- GBP/USD: trading plan for the US session on April 12th (analysis of morning deals). The pound followed the euro April 12, 2024
- EUR/USD: trading plan for the US session on April 12th (analysis of morning deals). The euro continues to fall April 12, 2024
- EUR/USD and GBP/USD: Technical analysis on April 12 April 12, 2024
- EUR/USD: Dovish signals from the ECB and rising PPI April 12, 2024
- EUR/USD. April 12th. ECB meeting: confidence in rate cut increased in June April 12, 2024
- GBP/USD. April 12th. British economy continues to stagnate April 12, 2024
- Analysis and trading tips for EUR/USD on April 12 (US session) April 12, 2024
- Analysis and trading tips for USD/JPY on April 12 (US session) April 12, 2024
NZDUSD declined earlier on Thursday, hitting a one-week low of 0.6544 but the price recovered most of its lost ground immediately. What remains to be seen is if the bulls have enough fuel to exit the steep descending trend line drawn from the April peak. The stochastic and the MACD are in favor of this scenario, suggesting more upside pressure as both are turning higher.
The downtrend line around 0.6580 will attract full attention on the way up. Should the price break the line to the upside, the rally may get further legs, with the spotlight turning next to the 23.6% Fibonacci retracement level of the downleg from 0.6780 to 0.6523, near 0.6585. A decisive close above the latter, could be considered a big achievement, opening the door for the 0.6610 resistance.
In the alternative scenario, the pair may retry to violate the 0.6550 support to drive the price back down to the six-month low of 0.6523. If the attempt proves successful, the next target would be lower around 0.6505, registered on October 31.
To sum up, NZDUSD has been in a downside movement in the near-term, however, in the very short-term, the market seems to be ready to penetrate the diagonal line to the upside and therefore shift the bearish view to neutral.
Related Posts: