You are here: Home > articles > Forex > Technical Analysis – NZDUSD in crucial battle area ahead of US CPI
Technical Analysis – NZDUSD in crucial battle area ahead of US CPI
May 10, 2023 8:26 amVideo
Latest News
- Microsoft reports earnings as AI wars intensify – Stock markets April 23, 2024
- Technical Analysis – Is gold ready for bearish correction? April 23, 2024
- XM and Singapore Red Cross: Stronger Together April 23, 2024
- Technical Analysis of Intraday Price Movement of Natural Gas Commodity Asset, Tuesday April 23, 2024. April 23, 2024
- Technical Analysis of Intraday Price Movement of Gold Commodity Asset, Tuesday April 23, 2024. April 23, 2024
- Key events on April 23: fundamental analysis for beginners April 23, 2024
- EUR/USD and GBP/USD: Technical analysis on April 23 April 23, 2024
- Forecast for EUR/USD on April 23, 2024 April 23, 2024
- Forecast for GBP/USD on April 23, 2024 April 23, 2024
- Forecast for USD/JPY on April 23, 2024 April 23, 2024
- Outlook for GBP/USD on April 23. The pound resumed its decline without delay April 23, 2024
- Outlook for EUR/USD on April 23. Boring Monday went off without a hitch April 23, 2024
- Less reason to expect the dollar to weaken April 23, 2024
- The dollar is armed April 23, 2024
- GBP/USD: Simple trading tips for novice traders on April 22nd (US session) April 22, 2024
- EUR/USD: Simple trading tips for novice traders on April 22nd (US session) April 22, 2024
- GBP/USD: trading plan for the US session on April 22nd (analysis of morning deals). The pound continues to fall April 22, 2024
- EUR/USD: trading plan for the US session on April 22nd (analysis of morning deals). The euro will continue trading within April 22, 2024
- EUR/USD. April 22nd. Christine Lagarde’s speech will set the tone for the week April 22, 2024
- Technical Analysis – EURGBP brings bullish scenario back to the table April 22, 2024
NZDUSD is trading at a critical area ahead of the US CPI inflation data, challenging the resistance trendline, which connects all the highs from April’s peak at 0.6343, for the third consecutive day.
May’s upturn raised optimism for a bullish trend reversal as a double bottom pattern became more visible. Adding to the bright outlook is the clear positive trajectory in the RSI and the MACD, which point to constructive sessions ahead.
Nevertheless, only a clear extension above 0.6345-0.6375 would confirm a bullish market structure in the short-term picture, likely driving the price sharply up to the 0.6500-0.6550 important resistance zone. Should the pair resume its October-January uptrend above 0.6550, the next target might be the crucial long-term descending trendline from February 2021 seen at 0.6620.
In the event the price slips below the nearby support of 0.6330, the 23.6% Fibonacci retracement of the 0.5510-0.6536 upleg could immediately add a footing near 0.6288. A break below that base would put the double bottom pattern into question, likely extending the bearish wave towards the 0.6200-0.6140 region, where the simple moving averages (SMA) and the 38.2% Fibonacci level are placed. Another negative correction may threaten a downtrend resumption below the March low of 0.6083 and towards the 50% Fibonacci of 0.6020.
All in all, NZDUSD seems to be testing a make-or-break zone. A sustainable move above the 0.6345-0.0.6375 region could trigger an exciting rally, while a step below 0.6288 may renew selling pressures.
Related Posts: