Nzdusd Outlook Remains Bearish

Nzdusd Outlook Remains Bearish by Ashly Chole last updated on October 08, 2024

Nzd/Usd Outlook Remains Bearish, Signs Of Bullish Strength On Horizon

The NZD/USD is seen near 0.6013 with a bearish overtone, as the pair has already lost 0.26% during Friday's session. But despite the short-term weakness, the NZD/USD is well on its way to closing the week in green.

The current downtrend seen in the NZD/USD is a sign that the market is dominated by the bears. But if we look at the recent price action, there are some hidden signs of bullish momentum as well. As a result, the upcoming Monday session could lead to some sideways trading.

Nzd/Usd H1 Chart Shows Bullish Signs

However, the RSI indicator on the NZD/USD daily chart continues to print in the negative territory. Additionally, the slope of the RSI reading is also flat, which means an absence of bulls in the market.

The MACD histogram, however, reveals that some bulls are still present as the indicator has posted a green par. So, that's yet another sign which hints at possible bullish momentum in the next session.

If we move down from the D1 to the H1 chart of NZD/USD, the RSI is near the 47, only inches away from the 50 midline. So, based on the NZD/USD hourly chart, the prices are still in the neutral zone, which suggests some interesting action on Monday.

The bottom line is that the NZD/USD remained under the grasp of sellers on Friday. However, there are some indicators such as the RSI on the H1 chart which hint at the possibility of a bullish revival on Monday.

Another factor which weighs heavily on the NZD/USD is the NFP report from the US side. The data was way beyond extraordinary as the labor market generated record number of jobs during March. This has provided a much needed boost to the USD which has also sent the NZD/USD lower on Friday.

The simple moving averages on the daily chart show that the 200-period can be seen near 0.607 while the 100 is located at 0.6138.