NZDUSD Analysis – Price Will Continue Its Bearish Movement Following a Retest at the 0.70600 Significant Key Level
NZDUSD will continue its bearish movement following a pullback to the 0.70600 significant key level. After a bullish rebound from the 0.68000 significant key marks, the kiwi is now in a downtrend phase. Before the bearish trend began, sellers pushed for a market reversal at the 0.71600 significant key marks. Then moving downward, the market breaches through 0.70600 key levels before continuing to decline. The price is then likely to retest this level before continuing its downward trend.
NZDUSD Significant Levels:
Resistance Levels: 0.73100 0.71600 0.70600
Support Levels: 0.69800 0.69000 0.68000
Before kiwi formed its highest high at the 0.73100 significant level, the market was in a bearish movement as it approaches the 0.69800 significant level. The buyers took control of the market after price reactions at this significant level. Kiwi, however, begins to consolidate between the 0.73100 and 0.71600 significant key zones before falling to 0.69000 significant zones.
However, the price kept fluctuating between 0.70600 and 0.69000 before the sellers ultimately gained control of the market. Following a strong rise back to the 0.71600 key level, kiwi has resumed its bearish trend, and a pullback is certain. The Moving Average crossing indicates that the price has crossed lower. This, however, indicates price movement in a downward trend.
On the 4hour chart, the price is seen heading up to the 0.70600 significant key level following a change in the market trend direction. The Parabolic SAR (Stop and Reversal) is showing the market condition in a downtrend as the market still awaits a retest. The moving average also shows a downtrend continuation. As a result, the Kiwi will resume its bearish trend following a retest of the 0.70600 key level.
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