The RBNZ kept rates overnight. On the decision, the price of the NZDUSD moved lower and below a lower swing area between 0.5879 and 0.58945. The low price reached 0.58695 before bouncing higher. Subsequent lows held support against the low of the swing area at 0.5879 giving the buyers hope for a rebound.
Admittedly, the price has been moving up and down since the low was made. The prices also stayed below the 200-bar moving average on the 4-hour chart currently at 0.5929 and the 100 bar moving average on the same chart at 0.5935.
Nevertheless, the sellers had the shot, they missed. However, the buyers need to get back above those 2 moving averages as well.
So the battle is on.
- Watch for a move above 0.5935 to increase the bullish bias.
- If the sellers want to take charge again and push below 0.5879, a move below that level would increase the selling bias.