NZD/JPY Price Analysis: Persistent downtrend extends, bears test critical supports


  • NZD/JPY continues in its relentless sell-off, propelled by bearish technical indicators and dwindling volume.
  • The RSI remains in oversold territory, indicating potential exhaustion of the prevailing down move.
  • The MACD maintains its bearish alignment, aligning with the general trend.

The NZD/JPY pair remains entrenched in its bearish trajectory, giving no respite to the bears as it approaches critical support levels. This persistent decline has extended across multiple trading sessions, with the NZD/JPY shedding over 10% of its value since its highs in recent weeks. Notably, the pair has breached the 89.00 psychological level and settled well below the 200-day Simple Moving Average (SMA).

On Monday, the NZD/JPY fell by 1.60% to 86.00, reinforcing the sellers' dominance but cleared losses which plunged the index to a low of around 83.00, a critical support level. While the pair has been relentlessly declining, technical indicators like the Relative Strength Index (RSI) continue flashing oversold conditions are approaching. Such conditions may hint at a potential pause in the downtrend. Currently, the RSI resides around 20, signaling a prolonged period of selling, though a potential trend reversal remains a possibility.

NZD/JPY daily chart

Navigating the depths of its descent, the pair is hovering near the 86.00 support level. Should this level fail to hold, further support awaits at 85.50 and 85.00, representing potential areas for a temporary reprieve. Conversely, resistance levels are positioned at 89.00 and 90.00, with the latter coinciding with the 200-day SMA.

Share: Feed news

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. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Recommended content


Recommended content

Editors’ Picks

EUR/USD treads water just above 1.0400 post-US data

EUR/USD treads water just above 1.0400 post-US data

Another sign of the good health of the US economy came in response to firm flash US Manufacturing and Services PMIs, which in turn reinforced further the already strong performance of the US Dollar, relegating EUR/USD to the 1.0400 neighbourhood on Friday.

EUR/USD News
GBP/USD remains depressed near 1.2520 on stronger Dollar

GBP/USD remains depressed near 1.2520 on stronger Dollar

Poor results from the UK docket kept the British pound on the back foot on Thursday, hovering around the low-1.2500s in a context of generalized weakness in the risk-linked galaxy vs. another outstanding day in the Greenback.

GBP/USD News
Gold keeps the bid bias unchanged near $2,700

Gold keeps the bid bias unchanged near $2,700

Persistent safe haven demand continues to prop up the march north in Gold prices so far on Friday, hitting new two-week tops past the key $2,700 mark per troy ounce despite extra strength in the Greenback and mixed US yields.

Gold News
Geopolitics back on the radar

Geopolitics back on the radar

Rising tensions between Russia and Ukraine caused renewed unease in the markets this week. Putin signed an amendment to Russian nuclear doctrine, which allows Russia to use nuclear weapons for retaliating against strikes carried out with conventional weapons.

Read more
Eurozone PMI sounds the alarm about growth once more

Eurozone PMI sounds the alarm about growth once more

The composite PMI dropped from 50 to 48.1, once more stressing growth concerns for the eurozone. Hard data has actually come in better than expected recently – so ahead of the December meeting, the ECB has to figure out whether this is the PMI crying wolf or whether it should take this signal seriously. We think it’s the latter.

Read more
Best Forex Brokers with Low Spreads

Best Forex Brokers with Low Spreads

VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.

Read More

Forex MAJORS

Cryptocurrencies

Signatures