NZDUSD bears are still holding the bearish momentum below 0.7250 to 0.7220 resistance area. NZDUSD bears are active below 0.7250 psychological event level. Can the bears push the price lower in the coming days? What are the charts and technical indicators are saying? Read on to find further insights into today’s NZD/USD Technical Analysis.
April 28, 2021, | AtoZ Markets – NZDUSD is currently trading around 0.7200 area and trying to push downside. After bouncing from 0.7100 to 0.7120 support level, the bulls have regained momentum and push the price upside impulsively, but failed to sustain the bullish pressure over 0.7220 to 0.7250 resistance level. As per the current price action, the price may found support at the Kumo Cloud on the intraday chart.
NZDUSD Bears Active Below Psychological Resistance Level
NZDUSD is currently residing near 0.7200 area and trying to push lower. Moreover, the price broke below the dynamic level of 20 EMA on the intraday chart.
Image: NZDUSD 4 Hour Chart
According to the 4-hour chart, NZDUSD bears active and currently trading around 0.7200 area. As per the current price action context, if the price can have a 4-hour bearish candle close, the price may decline towards the uptrend line. So, if the price can break below the uptrend line with an impulsive bearish candle, the bears may push the price further lower towards 0.7120 to 0.7100 area in the coming days. On the contrary, if the price bounced upside from the uptrend line, the bulls may regain momentum and recover higher towards 0.7220 to 0.7250 area again in the process.
In addition, the dynamic level of 20 EMA is currently residing near the price. Along with the Kijun line and the Tenkan line. So, the dynamic level may act as strong resistance if the price can have a bearish candle close below it. Besides, the Kijun line and the Tenkan line may work as a confluence of the dynamic level in the days ahead. However, the Kumo Cloud is still residing below the price, which may work as strong support in the coming days.
NZDUSD May Retrace Downside
According to the daily chart, NZDUSD bears active and currently residing near 0.7200 area. As per the current scenario, the price may retrace downward towards 0.7150 to 0.7120 area in the coming days. So, if the price retrace towards 0.7150 to 0.7120 support area and bounced higher with an impulsive bullish candle, the bulls may regain momentum and push the price upward towards 0.7220 to 0.7250 area as a first target. The second target will be 0.7420 to 0.7450 key area if the price can break over 0.7220 to 0.7250 area in the days ahead.
Image: NZDUSD Daily Chart
Furthermore, the dynamic level of 20 EMA is currently residing below the price, which may work as strong support to push the price upside in the process. Along with this, the MACD lines are currently residing above the 0.00 level and may have a bearish crossover. It indicates that the price may retrace downward before continuing the bullish bias further in the days ahead.
To conclude, as the overall momentum is bullish, there is a high chance that the price may recover further higher after a downside retracement. A daily close will help to identify the definite momentum in the coming days.