NZDUSD Analysis: Market Rises into a Resistance Zone
NZDUSD ascends into the resistance zone with strong momentum. The price bounced off the support level of 0.5900 to shoot up into the supply level of 0.6100 with the aid of three white soldiers. The bullish direction is yet established on the daily time frame. The sellers’ resistance at the supply level could halt the increase in the price.
NZDUSD Key Levels
Demand Levels: 0.5900, 0.5800
Supply Levels: 0.6100, 0.6200
The supporting trend line extended from the low formed on the first of June failed to hold in August. The Williams Perception Range signified an overbought market in July. This led to a plunge below the bullish trend line. Upon a recent of the trend line, the market crashed profusely to 0.5900.
A correct phase started after the market reached 0.5900. This occurred with a stagnancy in the price movement. The market paddled without a clear direction all through September. The Moving Averages periods 30 and 50 sank below the daily candles. Three white soldiers followed after with strong momentum. This reveals a sign of the Bulls to regain control.
The Williams Perception Range is Overbought on the daily time frame. The price is also in the resistance zone. If the range persists, the price will likely fall back to 0.5900. The Bulls would have to push above 0.6100 to establish a new uptrend.
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