The NZD/USD pair, after reaching yearly highs last week, is now showing signs of consolidation near the 0.6200 support level. Bulls are taking a breather after August’s rally, with the Relative Strength Index (RSI) at 57 in positive territory but flat. Meanwhile, the Moving Average Convergence Divergence (MACD) indicates steady but decreasing bullish momentum, with a potential for a reversal if it turns bearish.
Analyzing the NZD/USD Daily Chart
On the daily chart, the pair is currently facing resistance at the 0.6230 level. A break above this level could lead to further gains, while support is seen at 0.6170. A break below this level could favor the bears. Despite the positive outlook, a healthy correction was needed after last week’s over-extended rally. The pair is now expected to consolidate before its next move.
Overall, investors should monitor the 0.6230 resistance and 0.6170 support levels closely to gauge the pair’s next direction. Stay tuned for updates as market conditions evolve.