NZD/USD Price Analysis: Momentum slackens as buyers get rejected at the 200-day SMA
|- The daily chart reveals a subtle change in buyers' momentum, noted by decreasing MACD green bars and a neutral RSI.
- Hourly indicators picture a balanced scenario for the session.
At the end of the week, the NZD/USD has lost 0.21% as buyers seem to have run out of steam. The sluggish trend momentum might suggest an emerging bearish grip, although the short-term positive outlook remains largely unbroken.
Despite the Relative Strength Index (RSI) sitting in the neutral zone and displaying a positive outlook, the overall trend appears to be flattening. The Moving Average Convergence Divergence (MACD) also echoes the slowing momentum, printing decreasing green bars.
NZD/USD daily chart
The hourly view shows a neutral bias with a mild lack of traction for either party reflected by the flat RSI and MACD.
NZD/USD hourly chart
A broader inspection highlights the NZD/USD residing beneath the crucial 100 and 200-day Simple Moving Averages (SMAs), lending credence to a bearish outlook. The alleged sellers' strength is verified at the 200-day SMA barrier, further solidifying the short-term bearish slant as it rejected the buyers in Friday’s session. However, if the bulls manage to hold the key short-term 20-day SMA, the downside in the next sessions will be limited.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.