In a stunning move, the NZD/USD pair surged by over 0.80% in Monday’s trading session, reaching a high of 0.6100. This marks the continuation of a two-day winning streak and signals a potential shift in market sentiment towards the New Zealand dollar.
Technical indicators paint a bullish picture for the pair, with the Relative Strength Index (RSI) climbing above 60 and the Moving Average Convergence Divergence (MACD) displaying rising green bars. This suggests that buyers are gaining control and further upside potential may be on the horizon.
Analysis of NZD/USD Daily Chart
The NZD/USD pair is currently testing resistance at 0.6110, a key level that could determine the next direction of the pair. A sustained move above this level could pave the way for a rally towards 0.6150, the recent swing high. On the other hand, a break below support at 0.6070 may trigger a deeper correction towards 0.6030.
Traders are advised to closely monitor price action around these levels, as they could provide valuable insights into the future trajectory of the NZD/USD pair. The outlook remains positive as long as the bulls can maintain control above 0.6100.
Overall, the NZD/USD pair’s recent surge and bullish momentum suggest that the New Zealand dollar may continue to outperform in the near term. Traders and investors should keep a close eye on key support and resistance levels to capitalize on potential opportunities in the forex market.