Chart - Courtesy Trading View
Spot Analysis:
NZD/USD was trading 1.14% lower on the day at 0.5890 at around 13:40 GMT
Previous Week's High/ Low: 0.6161/ 0.5939
Previous Session's High/ Low: 0.6001/ 0.5929
Fundamental Overview:
DXY strength ahead of FOMC meeting keeps downside pressure on the pair.
The People’s Bank of China (PBOC) held one-year and five-year Loan Prime Rate (LPR) unchanged at 3.65% and 4.30% respectively.
The PBOC's decision poured cold water on the face of expectations of a rate cut and weigh on antipodean prices.
Technical Analysis:
- NZD/USD trades below major moving averages which are trending lower
- Price action is below cloud and Chikou span is biased lower
- Momentum is strongly bearish, Stochs and RSI are sharply lower
- GMMA indicator shows major and minor trend are strongly bearish
Major Support and Resistance Levels:
Support - 0.5850 (April 2020 low), Resistance -
Summary: NZD/USD trades with a strong bearish bias, poised to test fresh multi-month lows.
