NZD/USD Price Analysis: Teases inverse head-and-shoulder breakout above 0.7200

  • NZD/USD bulls catch a breather around the intraday top.
  • China data, risk-on mood favor buyers to confirm the bullish chart pattern.
  • Pre-NFP trading lulls battles sustained trading above 200-SMA to confuse traders.

Having recently jumped to 0.7244, NZD/USD eases to 0.7238 while flirting with the neckline of a short-term head-and-shoulders bullish pattern during early Friday.

China’s upbeat Caixin Services PMI recently added extra strength into the pair’s trading beyond 200-SMA, which in turn joins upbeat Momentum on the 30-minutes chart to keep buyers hopeful.

Read: China’s Caixin Services PMI rises to 56.3 in April, AUD/USD nears 0.7800

However, a clear upside break of 0.7245 becomes necessary for the NZD/USD bulls before aiming at the theoretical target of 0.7375. During the run-up, April’s top near 0.7290 and March’s top near 0.7310 may offer intermediate halts.

Meanwhile, pullback moves could revisit the 0.7200 round-figure but the 200-SMA level of 0.7186 may challenge any further weakness.

Should NZD/USD prices slip below 0.7200, the monthly low around 0.7115 will be in the spotlight.

NZD/USD 30-minute chart

Trend: Bullish


Articles You May Like

Wholesale prices rose 0.2% in June, slightly hotter than expected
Silver likely to touch Rs 1,25,000 over next few months: Motilal Oswal
Dollar Softens Post-PPI Release, Yet Selling Momentum Remains Limited
Jobless rates rise in June for white, Black and Hispanic women but fall for men in the three racial groups
Japan finance minister Suzuki says fiscal discipline important

Leave a Reply

Your email address will not be published. Required fields are marked *