NZD/USD Price Analysis: Remains trapped between key averages on 4H ahead of US PMI
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NZD/USD Price Analysis: Remains trapped between key averages on 4H ahead of US PMI

  • NZD/USD has room to rise towards the bearish 100-SMA at 0.7077 on the 1D chart.
  • The kiwi bulls remain hopeful while above 21-SMA at 0.7005.
  • US IS Services PMI could offer fresh direction to the pair.

NZD/USD is consolidating in a 20-pips narrow range above 0.7000 on Easter Monday, extending Friday’s range play, as markets await the US ISM Services PMI report for a clear directional bias.

At the press time, the kiwi trades modestly flat around 0.7030, wavering between two key simple moving averages (SMA) on the four-hour chart.

The bearish 100-SMA at 0.7077 could threaten the additional upside while the upward-sloping 21-SMA at 0.7005 is the level to beat for the NZD bears.

Meanwhile, the relative strength index (RSI) edges higher above the midline, currently at 59.06, allowing  room for more gains.

Recapturing 100-SMA is critical to reviving  the bullish sentiment. The next hurdle is seen at 0.7100 the round number.

The March 22 high at 0.7183 would be next in sight for the optimists.

NZD/USD: Four-hour chart

However, a rejection at the 100-SMA could trigger a drop back towards the 21-SMA support, below which the 50-SMA cap at 0.6993 could be tested.

Further south, the horizontal trendline support at 0.6946 is expected to offer the last line of defense to the buyers.

NZD/USD: Additional levels


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