When analyzing the current state of the New Zealand Dollar (NZD), experts from UOB have suggested that the currency could potentially test the 0.6115 level. This projection is based on the condition that the NZD remains below 0.6185. However, it is important to note that a significant break below the 0.6115 level is not anticipated in the near future. On a longer-term horizon, if the NZD does manage to drop below 0.6115, there is a possibility that it could continue to move downwards towards 0.6085. Recent trading activity for NZD has shown that it fluctuated between 0.6129 and 0.6164 before closing around 0.6150. Despite the lack of significant movement, the overall trend for NZD remains weak, indicating a potential retesting of lower levels before any signs of recovery.
NZDCAD Analysis on the H3 Timeframe
Taking a closer look at the price action of NZDCAD on the 3-hour timeframe chart reveals that the currency has recently established two new lows, breaking past previous support levels. This change signifies a bearish trend in the market. Additionally, the 50-period Simple Moving Average (SMA) has crossed below the 100-period SMA, providing further confirmation of the downward direction. An entry point that traders may find interesting is the highlighted supply zone, aligning with the 76% Fibonacci retracement level and trendline resistance. Analysts are expecting a bearish movement with a target at 0.82350 and an invalidation point at 0.83890.
NZDUSD Outlook on the H3 Timeframe
In the case of NZDUSD, recent developments show that the currency has broken below the pivot zone on the daily timeframe after the 100-period SMA crossover on the 3-hour timeframe. This change indicates a bearish sentiment in the market, with a high probability of price heading towards the highlighted demand zone near the 0.60100 region, or potentially stabilizing around the 0.60500 price level. Analysts have set a bearish direction for NZDUSD with a target at 0.60125 and an invalidation point at 0.61877.
Overall, the analysis of NZD and its pairs, such as NZDCAD and NZDUSD, suggest a bearish outlook in the current forex trading environment. Traders should carefully monitor the price movements and key levels mentioned to make informed decisions regarding their positions in the market.