NZD/USD Price Analysis: Defends 50-day SMA support, range play continues

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  • NZD/USD is bouncing up from key SMA support at 0.6633. 
  • A move above 0.6682 is needed to confirm a bullish breakout.

NZD/USD is trading in the red at press time, marking a weak follow-through to Wednesday’s 1% gain. 

The pair is currently trading at 0.6646, representing a 0.12% drop on the day, having defended the 50-day simple moving average (SMA) of 0.6633 early today.

The immediate bias remains neutral, with the pair trapped in the range of 0.6547 to 0.6682 for the second week. A range breakout would open the doors to a re-test of September highs near 0.68 (target as per the measured move method). 

Alternatively, range breakdown would imply a resumption of the sell-off from September highs and may yield a drop to the 200-day SMA at 0.6388.

Daily chart

Trend: Neutral

Technical levels

 

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