The NZD/USD pair is currently experiencing a minor decline, falling towards the 0.6000 level during Monday’s trading session. Despite a prevalent bullish swing in the market, indicating increased buyer control, there is still a possibility of bearish movements. The key Simple Moving Averages (SMAs) and shifting investor sentiment suggest that further validation is needed from the bulls.
On the daily chart, the Relative Strength Index (RSI) is pointing towards the positive territory, showing that buyers are gaining control. The RSI has gradually shifted from 38 to 56, indicating a dominant bullish momentum. The Moving Average Convergence Divergence (MACD) also confirms this bullish sentiment with rising green bars denoting positive momentum.
Analyzing the hourly chart, the RSI shows moderate fluctuations within the positive region, with the most recent reading at 51, slightly lower than the daily RSI. This could suggest a mild slowdown in buyer momentum. The MACD histogram displays flat red bars, indicating a decrease in positive momentum.
Looking at the broader outlook, the NZD/USD’s position relative to its Simple Moving Averages (SMA) indicates a short-term bullish trend against a potentially long-term bearish trajectory. However, a noted decrease in buyers at the 100-day SMA highlights a possible bearish trend that traders should carefully monitor.