- NZD/JPY continues to trade sideways using the 20-day SMA as support.
- The RSI and MACD indicate a decrease in buying pressure.
- Buyers should defend the 20-day SMA to avoid losses.
In Wednesday’s session, NZD/JPY fell slightly to 90.60, continuing the sideways movement seen in recent sessions.
The daily Relative Strength Index (RSI) is currently at 51, indicating that the pair is in the positive area. However, the RSI is declining, suggesting that buying pressure is easing. The MACD histogram is green and declining, confirming the bearish momentum.
The 90.60 level remains crucial for the near-term outlook for the NZD/JPY pair. On Wednesday, the pair continued to struggle near this support level. A break below 90.60 could pave the way for more losses, potentially pointing to the next psychological support at 89.50. However, if the pair holds above 90.60 and buyers regain strength, a reversal could push the price towards the 91.00 resistance level and even up to 92.00, where the 20, 100 and SMA converge. 200 days.
The bears have been persistently testing the 20-day SMA, which has served as notable support. A successful break below this level could solidify bearish momentum, leading to further downward pressure.
NZD/JPY daily chart
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.