Market Analysis – Price Dives Towards 0.5650
NZD/USD plummets towards the demand level of 0.5650. The market experienced an impulse phase in November with a very steep rise in the price. The correction phase followed with a very rough price action. This was characterized by inconsistent highs and lows. Highs and Lows were swept concurrently during the period.
NZDUSD Key Levels
Demand Levels: 0.5650, 0.5550
Supply Levels: 0.6220, 0.6680
NZDUSD price action has been guided by a prominent bearish trendline on the twenty-four-hour chart anchored on the month-high in February 2021. Circles of impulse and correction phases have been repeated on the prevailing downtrend.
The test of the resistance level of 0.6680 pressed on the bearish trendline. This caused a sudden halt in the aggressive pump in the price of NZDUSD which started in October 2022. The Moving Averages rested on the body of the daily candles from February to July this year to show the long-term consolidation.
NZD/USD Market Expectation
The market has resumed an impulsive phase after a pullback in September. Currently, the Moving Averages (periods 30 and 50) dominate the market price. The price is crashing towards the low of 0.5550.
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