New Zealand Dollar Vulnerable as NZD/USD Eyes Falling Wedge
The New Zealand Dollar's next leg could be lower against the US Dollar after the pair seemingly rejected the ceiling of a Falling Wedge chart pattern.
While the wedge is in itself a bullish formation, prices may consolidate lower within the boundaries of the pattern until a breakout is achieved.
A push above the wedge could hint at resuming the uptrend that occurred from October 2020 through February 2021. Along the way is the 0.7268 - 0.7315 inflection zone.
A bullish crossover between the 20- and 50-day Simple Moving Averages still offers a near-term upwards technical bias. Prices are testing the 20-day line at the time of publishing.
Clearing lower exposes the 0.6943 and 0.6881 inflection points towards the August low just above 0.6798.
NZDUSD
While the wedge is in itself a bullish formation, prices may consolidate lower within the boundaries of the pattern until a breakout is achieved.
A push above the wedge could hint at resuming the uptrend that occurred from October 2020 through February 2021. Along the way is the 0.7268 - 0.7315 inflection zone.
A bullish crossover between the 20- and 50-day Simple Moving Averages still offers a near-term upwards technical bias. Prices are testing the 20-day line at the time of publishing.
Clearing lower exposes the 0.6943 and 0.6881 inflection points towards the August low just above 0.6798.
NZDUSD