NZD/USD Pair Faces Challenges as Selling Pressure Persists
- NZD/USD struggles, closing at 0.5760 after failed attempts to reach 0.5850.
- 20-day SMA acts as resistance, hindering upside movements.
- Technical indicators signal bearish momentum with RSI near oversold levels and MACD histogram showing increasing red bars.
The NZD/USD pair encountered difficulties on Friday, declining by 0.14% to 0.5760 as it faced challenges in sustaining gains that briefly pushed it towards the 0.5850 level. Persistent selling pressure and the inability to surpass the 20-day Simple Moving Average (SMA) at around 0.5890 continue to impact the pair’s short-term performance.
Bearish Signals Strengthen Amid Technical Indicators
Technical indicators are reinforcing the bearish sentiment in the NZD/USD pair. The Relative Strength Index (RSI) currently stands at 34, approaching oversold territory, indicating ongoing weakness with a downward trend. Additionally, the Moving Average Convergence Divergence (MACD) histogram is displaying rising red bars, highlighting the increasing bearish momentum despite recent attempts at recovery.
As the NZD/USD pair drifts lower, key support levels include the 0.5750 region, followed by the psychological barrier at 0.5700 if selling pressure persists. To shift the current bearish bias, a decisive breakthrough above the 20-day SMA is essential to provide bullish momentum with an opportunity to regain control.
Analyzing the NZD/USD Daily Chart
