- NZD/USD shrugs off the previous day’s decline and gains in Asian trading hours.
More upside envisioned if price decisively breaks 0.6950.
- Momentum oscillator holds onto the oversold zone with a neutral bias.
NZD/USD edges higher on Friday in the Asian session. The pair opened higher but retreated lower to touch the intraday lower level of 0.6940.
At the time of writing, NZD/USD is trading at 0.6952, up 0.17% for the day.
NZD/USD daily chart
Technically speaking, the NZD/USD pair has been moving inside a broader trading range of 0.6950 and 0.7100.
If NZD/USD sustained above 0.6960, it could find the first resistance near the 20-day Simple Moving Average (SMA) at 0.6980.
The Moving Average Convergence Divergence (MACD) indicator trades in an oversold zone. Any uptick in the MACD could trigger more buying opportunities in the pair. The bulls would see the next upside target at 0.7000 key psychological mark.
NZD/USD bulls would test the 0.7050 horizontal resistance level.
Alternatively, if price moves lower, it will first locate the downside target at 0.6925 horizontal support level followed by the June 21 low at 0.6894.
A daily close below the mentioned level would drag the price outside the rectangle formation.
Next, the market participants would be encouraged to take over the low of November 16, 2020, at 0.6841.
NZD/USD additional levels