NZDUSD Price Retreats as Consolidation Unfolds

NZDUSD Analysis – Bearish Price Is Held Back by Buying Moment

NZDUSD price retreats as consolidation unfolds. In the meantime, the currency pair looks to be reversing its negative trend. According to technical analysis, the selling moment was kept to a halt by a sufficient buying moment following a breach beyond the 0.57350 important zone down to the 0.55600 significant level. As a result, buyers have resisted selling pressure as the price value retraces back to the 0.57350 critical zone on the daily chart time frame. However, because sellers are aware that buyers are holding against negative momentum, more pressure will be applied as sellers rush back into the market.

NZDUSD Key Zones

Resistance Zones: 0.65780, 0.62500
Support Zones: 0.57350, 0.55600

The sellers had to sustain the price value with enough liquidity flow right from April 2022. The NZDUSD price happened to have placed a higher premium on sell volume as the market chart continued to swing higher. The bearish market continued to descend as it even entered a downtrend consultation channel. However, prices have broken away from this channel as more downward movement is observed.

The bear market is therefore still looking for more selling action as the Bollinger Band indicator continues to inflate. Following a bearish session downward, the buyers are retracing their strength back to the 0.57350 key zone. The Money Flow Index shows that price is still equipped with bearish strength as price still tends to go lower. The MACD (Moving Average Convergence and Divergence) indicator still shows selling action despite price retracement.

Market Expectations

The bulls are causing the NZDUSD price to consolidate after the price volume flow by sellers. As a result of price consolidation, a further plunge is likely to occur from the selling phase. A break beyond the key zone.

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