Market Analysis – Kiwi Buyers Are Resisting Selling Pressure
NZDUSD’s bearish trend lacks strong footing. The sellers have faced challenges as the buyers of the Kiwi (NZDUSD) have been hindering their progress. The sellers made an initial breakthrough last week, escaping the key level of 0.60030. This level was seen as a significant zone for the sellers to establish their dominance. However, despite this initial success, the sellers have not been able to make substantial progress. The buyers on the Kiwi price have been resilient, causing a holdback in the sell market.
NZDUSD Key Levels
Resistance Levels: 0.63820, 0.62810
Support Levels: 0.61700, 0.60030
The buy traders are determined to gain strength and push the market towards the 0.60030 significant zone. They have been battling against the weakening Kiwi (NZDUSD) for quite some time now. Earlier this year, due to the stronger side of the dollar, the bears were able to direct the price lower from the significant level of 0.63820. The buyers put up a struggle below the 0.62810 price zone, but after a period of consolidation, the sellers eventually expanded lower. They were able to breach through the 0.61700 significant level.
The market witnessed a prolonged period of price consolidation below the 0.61700 key level during March. However, the bears recently led a breakout towards the 0.60030 market level. This breakout indicated the sellers’ determination to establish a strong trend. Despite this, the buyers are currently slowing down their movement, creating a tense battle between the two sides.
Market Expectation
The Moving Average Convergence and Divergence (MACD) indicator shows the flow of the market, and in this case, it reflects a bearish influence. This suggests that the sellers still have the potential to drive the price down further. Considering the current market conditions, a deep purge down to the key level of 0.58500 is still very likely to hold. This level could act as a strong support for the sellers, further solidifying their position in the market.
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