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FxWirePro: NZD/JPY declines after rejection at 55-EMA, break below cloud will see further weakness

NZD/JPY chart - Trading View NZD/JPY is extending decline after recovery attempts in the pair were rejected at 55-EMA. The pair is on a bearish streak for the 3rd straight session after 'Doji' formation on Monday's trade…

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FxWirePro: NZD/JPY declines after rejection at 55-EMA, break below cloud will see further weakness
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NZD/JPY chart - Trading View 

NZD/JPY is extending decline after recovery attempts in the pair were rejected at 55-EMA.

The pair is on a bearish streak for the 3rd straight session after 'Doji' formation on Monday's trade.

Analysis of GMMA shows major trend in the pair is bearish and minor trend is also turning bearish on the daily charts.

Dovish RBNZ today adds to bearish pressure in the pair, raising scope for further downside.

The Reserve Bank of New Zealand (RBNZ) held rates at 0.25% and announced additional stimulus measures.

The central bank expanded the quantitative easing (QE) programme to NZD60 billion from $30 billion and left the door open for negative rates.

The pair finds strong support at cloud base at 64.04, break below will accentuate downside.

On the flipside, break above 55-EMA will negate any bearish bias. Scope then for test of 110-EMA at 67.09.
 

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