NZD/USD Technical Analysis: Dollar sell-off support for the Kiwi looking limited, drifting back below 0.6850

• NZD/USD beginning to retrace its steps over the past twenty-four hours after a late-Wednesday drive higher on the back of a dovish Federal Reserve chair Powell, sinking the US Dollar across the board.
• Kiwi spiked into 0.6887 on Dollar flows, but the Antipodean is now sinking back towards familiar levels, struggling just below 0.6850.

NZD/USD, 5-Minute

• The Kiwi has struggled underneath sequential lower highs for the past two weeks, but the US Dollar’s plunge is unlikely to see a long-term boost for the NZD as the pair remains capped by mid-November’s peaks.

NZD/USD, 30-Minute

• In the medium-term, the NZD/USD has managed to grind out gains, but the pair remains constrained as chart action excluding the Fed Greenback sell-off sees the Kiwi still hampered by the 50-period moving average currently holding just beneath 0.6800, and failure to sustain a bull move will see the pair collapse back into recent ranges shortly.

NZD/USD, 4-Hour