NZDUSD Commences Rebound Within Prevailing Bearish Trend

Market Analysis – August 15

The NZDUSD currency pair has been in a consistent phase of decline, with this downward movement persisting on the daily chart. Notably, a bearish breakout occurred in late July, indicating a significant shift in market sentiment. The decline gained further momentum as the previously supportive bullish order-block at 0.6200 was breached, contributing to the continued downward trajectory.

NZDUSD Key Levels

Demand Levels: 0.5950, 0.5900, 0.5850
Supply Levels: 0.6100, 0.6200, 0.6300

NZDUSD Long-term Trend: Bearish

The bearish trendline in NZDUSD’s price action holds a strong influence on the daily chart, consistently shaping the market direction. The bearish crossover of the Moving Averages serves as an additional confirmation of the prevailing downward trend.

Throughout this rapid bearish movement, specific areas of market inefficiency have been established. These areas are likely to function as robust support zones in the future. As the Stochastic oscillator begins to move away from the oversold level, a series of bullish candles emerge, hinting at the initiation of a potential pullback.

NZDUSD Short-term Trend: Bearish

Anticipating the next significant institutional level at 0.5900, the price seems poised to encounter this crucial point. The alignment of the Moving Averages on the 4-hour chart further supports the ongoing price decline, reinforcing the bearish sentiment in the short term.

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