Search ForexCrunch
  • NZD/USD reverses lower from long-held Fibonacci resistance. 
  • Repeated bull failure at price hurdle could attract selling pressure.

NZD/USD is currently trading near 0.63, having failed to take out resistance at 0.6319 – the 23.6% Fibonacci retracement of the 2020 sell-off – a few minutes before press time. 

The Fibonacci hurdle has capped gains two times in the last three days. 

The repeated failure to clear the price resistance has shifted risk in favor of a pullback to 0.6280 (38.2% Fib retracement of the recent price bounce). A violation there would expose support at 0.6250. 

A close above 0.6319 would validate the bullish divergence of the 14-day relative strength index and open the doors for gains toward 0.64.

Daily chart

Trend: Bearish

Technical levels