NZD/JPY Declines to 89.70: What’s Next for Traders?

The NZD/JPY currency pair faced selling pressure on Tuesday, dropping 0.30% to settle around 89.70. Technical indicators are sending mixed signals, hinting at a possible range-bound movement in the near future.

The Relative Strength Index (RSI) is currently at 46, hovering around the 50 midline, indicating a neutral bias with no clear advantage for buyers or sellers. This suggests that the pair may continue trading sideways within its current range. Meanwhile, the Moving Average Convergence Divergence (MACD) is showing flat green bars, pointing towards a lack of clear momentum.

With the pair seemingly stuck in a consolidation phase and indicators flat, traders should watch for a potential breakout above or below the 88.00-90.00 channel. This could determine the short-term direction for NZD/JPY.

Analysis:

Traders should be cautious with NZD/JPY as it remains range-bound with no clear momentum. A breakout above or below the current channel could signal a shift in direction. Keep an eye on key levels for potential trading opportunities.

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