- NZD/USD was volatile during Friday’s session, erasing all of the day’s gains.
- The pair initially rose to a high around 0.5970 near the 20-day SMA before erasing all gains towards 0.5850.
- The RSI indicator signaled that buying pressure had increased as it approached the oversold area with increasing slope.
The NZD/USD session was volatile on Friday, initially peaking around 0.5970 near the 20-day basic moving average (SMA) before erasing all gains towards 0.5850. The pair rose slightly to 0.5855, indicating that the bulls have confined strength and the bears are still dominant, but a correction is on the horizon as the indicators are approaching oversold levels.
Technical indicators currently present a mixed outlook for the NZD/USD pair. The Relative Strength Index (RSI) suggests that buying pressure is reviving as it approaches an oversold area and its slope increases sharply. On the other hand, the Moving Average Convergence Divergence (MACD) indicates that selling pressure is steady, as evidenced by the flat and red histogram. Despite these conflicting signals, the overall outlook remains tilted in favor of the bears.
Support levels can be found at 0.5900, 0.5850 and 0.5800 and resistance levels can be found at 0.5950, 0.6000 and 0.6050.
