NZD/USD chart - Trading View
NZD/USD was trading 0.13% lower on the day at 0.7062 at around 04:40 GMT, slipping lower from new multi-month highs at 0.7104.
The pair is extending weakness after back-to-back 'Spiining Top' formations on the daily candles in the past 2 sessions.
After a stellar 6.09% rise in the November month, kiwi bulls are taking a breather as oscillators have reached overbought levels.
The pair has approached stiff resistance zone at 200M MA at 0.7180. Break above is likely to propel the pair higher.
Weakness in the greenback amid expectations for swift global economic recovery on rising vaccine expectations and renewed fiscal stimulus hopes likely to keep upside intact.
Pullbacks likely to find supports at 0.7023 (200H MA), 0.6947 (nearly converged 20-DMA and 21-EMA) and 0.6804 (55-EMA).
Next bull target above 200M MA lies at 0.7320 (88.6% Fib retracement). Bullish invalidation only below 200W MA.
