NZD/USD technical analysis: Break of 0.6570 confirms short-term falling wedge on H1 chart

0
  • Falling wedge formation favors the pair rise towards 0.6615 on the confirmation.
  • Current month lows limit the downside with near oversold RSI levels.

NZD/USD maintains a weeklong “falling wedge” technical formation as it trades near 0.6555 during early Thursday.

Even if the Antipodeans are under pressure due to fundamentals, near oversold levels of 14-bar relative strength index (RSI) and support-line of aforementioned bullish chart pattern can question the pair’s further declines at 0.6545.

In a case where the quote slips beneath 0.6545, the current month lows near 0.6525, 0.6500 and October 2018 low near 0.6425 could gain bears’ attention.

Meanwhile, an upside clearance of 0.6570 can confirm the bullish technical pattern and propel prices towards May 10 tops surrounding 0.6610/15.

Also, the pair’s successful rise past-0.6615 can recall 0.6665 and 0.6685 back on the chart.

NZD/USD hourly chart

Trend: Pullback expected

 

Get the 5 most predictable currency pairs

About Author