Market Analysis: NZDUSD Experiences a Significant Bearish Trend
The NZDUSD pair has experienced a pronounced bearish shift in its market structure, with a recent peak established at 0.63090. This bearish change initiated a substantial downward trend, demonstrating a clear dominance of sellers in the market. Notably, the recent decline saw the price breach the critical 0.60110 level without any signs of a retracement, reinforcing the strength of bearish sentiment.
NZDUSD Significant Zones
Resistance Levels: 0.61680, 0.63090
Support Levels: 0.60110, 0.58680
On the 4-hour chart, a significant break of structure below 0.60110 further confirms this bearish momentum. Following this break, the NZDUSD price retraced briefly, returning to the 4-hour order block, but has since started to form another bearish leg. This development suggests a continuation of the downtrend as sellers continue to exert control.
Technical indicators also align with the bearish outlook. The daily Moving Average reveals a strong bearish signal, with the price trading below the indicator, reinforcing downward pressure. Similarly, the daily Relative Strength Index (RSI) reflects weakening price strength, while the 4-hour Moving Average indicates continued bearish sentiment.
Market Expectation
Given the prevailing bearish trend, the price is anticipated to decline further toward the 0.58680 support level. If this level is breached, it could pave the way for sustained bearish momentum. However, until the price decisively breaks below 0.58680, any potential for bullish reversal remains limited. This will inform traders who use forex signals.
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