NZDUSD daily
This is a nightmare chart for the bulls.
NZD/USD cracked lower on a dovish central bank shift and has busted through a significant zone of support with no obvious lifelines below.
The drop sets up a fall as deep as 0.5500, where the New Zealand dollar bottomed in October. An initial target might be 0.5800, which is the measured target from the double top in April/May.
What I’ll want to see to confirm it is the kiwi falling on days when risk assets are rebounding. Some of that is in the mix today but it’s a skewed picture with AI carrying so much of the weight and US Treasury yields surging on the debt ceiling. If there’s a close below the 0.6080 level on Friday, it would clear the way for the shorts to pile in.