Market Analysis – A Year Forged by Bulls and Bears Dominance
NZDUSD bullish trend looks promising. The pair has had an eventful year, characterized by a constant battle between bulls and bears. Let’s delve into the journey of market participants and how they have dominated the market throughout the year.
NZDUSD Market Zones
Resistance Zones: 0.64330, 0.62890
Support Zones: 0.59380, 0.57710
The year kicked off with a resounding bearish roar, as the NZDUSD pair experienced a decline from 0.6500 to the 0.6000 market level between January and March. This downward movement was primarily driven by the strengthening of the US dollar and concerns surrounding the New Zealand economy.
However, the second quarter witnessed a dramatic shift in sentiment. From April to June, the NZDUSD pair staged a remarkable comeback, surging from 0.6000 to the 0.6400 price level. During this period, there was a high level of volatility, with the pair swinging between the significant levels of 0.6400 and 0.6000. Both bulls and bears found temporary victories, and technical indicators like the price oscillator provided mixed signals.
As we entered the last quarter, the buyers finally gained control of the pair. They initiated a strong upward pull, breaking through the 0.62890 price level. Presently, the buyers appear to be more stable, indicating the potential for further upside momentum. Looking forward into the new year, with an increase in buying pressure, there could be a ride up to the significant level of 0.64300. The Parabolic SAR (Stop and Reverse) indicator continues to focus on the buying influence, supporting the bullish outlook. Additionally, the bulls in the short time frame remain inclined for further upward movement.
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