NZDUSD Clings to a Bullish Theme Despite the Sell Motion

Market Analysis – December 5th

NZDUSD still clings to a bullish theme despite the sell motion. The currency pair has been facing difficulties in surpassing the price level of 0.62170. Although there was a breakout, indicating a bullish trend. This led to a sudden decrease in momentum, suggesting a potential pullback or reversal. After a positive move by buyers last week, sellers have reentered the market. The currency pair is now centered around the dormancy.

NZDUSD Market Levels

Resistance Levels: 0.62170, 0.61410
Support Levels: 0.59430, 0.60530

Buyers have responded positively to upward movements in the market for several weeks. Despite the decrease in bullish momentum, buyers continue to show interest in pushing the price higher.Currently, there is a battle between buyers and sellers, with buyers losing some of their determination due to the drop in momentum. If sellers persist, the market may experience a downturn.

The momentum indicator reflects a decrease in buyer momentum, which has given sellers the confidence to continue selling. However, the Parabolic SAR indicator still indicates that buyers remain the dominant force in the market. The buyers are still looking for more stability to counter the selling narrative.

Market Expectation

Sellers are currently centered around the significant level of 0.61410. The momentum indicator in the shorter time frame is still declining. Traders should watch for a breakout in favor of the bulls or a drop in selling activity at this key level. At the moment the market is still experiencing a sell moment. 

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