NZDUSD Lurks at the 0.6230 Key Level

Market Analysis – March 28

NZDUSD has experienced a breakout from a falling wedge on the daily timeframe. The Bears are unwilling to let go at the demand level, making it difficult for the price to rise after the bullish breakout.

NZDUSD Key Levels

Demand Levels: 0.6090, 0.5770, 0.5570
Supply Levels: 0.6230, 0.6350, 0.6500

NZDUSD Long-term Trend: Bearish

NZDUSD is currently in a bearish trend. The last bearish wave was experienced from August 2022 to October 2022. The Stochastic and the RSI (Relative Strength Index) indicated a bearish market. The cross of the Moving Averages (periods nine and twenty-one) also confirmed the bearish trend. The market drooled from 0.6350 to 0.5570.

After reaching the oversold region (as seen on the Stochastic and RSI) in October, the Buyers seized the opportunity for a change of direction. The Moving Averages (periods nine and twenty-one) crossed again above the demand level to signify the new bullish trend. The market rose aggressively to a 0.6500 supply region. The bears made the first attempt at a reversal in December but failed. This year, the market direction eventually turned bearish in February.

NZDUSD Short-term Trend: Bullish

The market has experienced a bullish breakout out of the falling wedge. A retest of 0.6090 on the wedge is likely to foster an ascent to 0.6050.

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