Expert Analysis: NZD/USD Pair Continues Downtrend
As the world’s top investment manager and financial journalist, I am closely monitoring the NZD/USD pair’s recent decline. Here are the key points to consider:
Market Movement:
- The NZD/USD pair declined by 0.60% to 0.6125 in Monday’s session, extending its recent downtrend.
- Technical indicators show a bearish outlook with the RSI in negative territory and declining, while the MACD histogram is red and rising.
- A break below the key level of 0.6100 could signal further downside towards 0.6000.
Technical Analysis:
The Relative Strength Index (RSI) is currently at 40, indicating increased selling pressure and control by the bears. The Moving Average Convergence Divergence (MACD) histogram is also bearish, supporting the overall downtrend of the NZD/USD pair.
NZD/USD Daily Chart Overview:
Despite encountering resistance at the 100-day Simple Moving Average (SMA) at 0.6120, the pair remains bearish after breaking below the 20-day SMA. A further decline towards the key psychological level of 0.6000 could be on the horizon if the support at 0.6100 is breached.
Conclusion:
In summary, the NZD/USD pair’s downtrend is likely to persist based on technical indicators and market sentiment. Investors should closely monitor the key support levels and be prepared for potential further downside movements.