- The NZD/JPY pair fell sharply on Friday and hit a low of 87.85.
- The RSI indicator fell to 36, which indicates that the bears are in full control and the negative dynamics are likely to continue.
- The bears have a target of 87.00 in sight.
The NZD/JPY pair maintained a bearish stance, extending the sell-off that began in Tuesday’s session. Technical indicators strongly suggest that bears have the upper hand and the pair could continue to fall in the coming days.
The Relative Strength Index (RSI) has reached 36 and is approaching the oversold threshold. However, after the pair lost over 3% this week, the cross could consolidate in the coming sessions as bears could lose steam.
NZD/JPY Daily Chart
On the daily chart, the NZD/JPY pair is showing signs of sustained weakness. After breaking below the 20-day basic moving average (SMA) of 89.60, bears appear to have enough momentum to exert further downward pressure. If the selling continues, critical support levels will come in at 87.50, 87.30, and 87.00.
