Skip to content
NZDUSD down for the 7th day in a row

 | News Today

NZDUSD down for the 7th day in a row

| Today Headlines | abc News

NZDUSD has been entering a swing zone since 2020

NZDUSD is working the 7th consecutive day lower and 9 of the last 11 days. Yesterday’s close was at 0.6594. The current price is at 0.6546, so the 7th day low notch looks good.

Since the January 13 high, the price has fallen 361 pips in 11 trading days.

Looking at the daily chart, the price entered an area where a number of swing lows and highs were reached between June 2020 and November 2020 (the last time the price was this low). This zone lies between 0.6488 and 0.6588. The low price reached 0.6532 today – between these extremes.

If there are going to be dip buying, this area should give traders a reason to pause. However, aside from buying closer to 0.6488, I would need a bit more confidence from short-term technicals.

What might that look like?

Drilling on the hourly chart below, yesterday’s price cracked below a descending trendline. This indicates an accelerating trend. It could also be a precursor to an oversold market. Getting back above the broken trendline and staying above it would be necessary to give buyers more hope. This level currently sits at 0.6571 (and is moving lower). Note that earlier in the day the price attempted to break back above this level but failed. It is therefore important to stay on top.

On a break above the 38.2% retracement of the move down from Wednesday’s high (that high stalled just at its 100 hourly moving average) comes in at 0.65967. Exceeding this level would add to the “win” column for dip buyers.

These types of moves are starts. Given the steep decline, there are other targets, including the 50% of the same move lower at 0.6616, followed by the 100 hourly moving average falling at 0.66427 (blue line in chart shown). below).

NZDUSD down for the 7th day in a row

 | News Today

NZDUSD on the hourly chart

Crucially, the pair is suffering from “risk-free” flows in stocks falling, expectations of slowing growth in China. CPI data this week came in at 1.4% for the quarter, which should keep the Reserve Bank of New Zealand on a tightening path, but even that data didn’t help.

US stocks are bouncing on the flows with the NASDAQ now up 128 points or 0.97% in volatile trading. NZDUSD is off the lows, but it is also off the US session highs. Nonetheless, he remains alert in case risk outflows begin to ebb a bit (at least in the short term).

For now, there is more to prove.

NZDUSD down for the 7th day in a row

| Local Business News Fox news

Not all news on the site expresses the point of view of the site, but we transmit this news automatically and translate it through programmatic technology on the site and not from a human editor.