- NZD/USD may test the psychological support near 0.5600.
- The 14-day RSI remains below 50, reinforcing bearish sentiment.
- The nine-day EMA at 0.5650 acts as the immediate resistance.
The NZD/USD pair continues its downtrend for the second consecutive day, trading near 0.5640 during European hours on Thursday. Technical analysis highlights a bearish market structure, with the pair remaining within a descending channel. The 14-day RSI stays below 50, reinforcing downside pressure, while the pair remains under the nine-day EMA, signaling weak short-term momentum.
On the downside, the psychological support at 0.5600 remains a key level to watch. A decisive break below this area could push the pair toward 0.5516, its February 3 low, and further down to 0.5450, the lower boundary of the descending channel.
To the upside, immediate resistance is seen at the nine-day EMA of 0.5650, followed by the descending channel’s lower boundary at 0.5670. A breakout above this key resistance zone could ease bearish pressure, potentially driving the pair toward its January 24 high of 0.5794.
NZD/USD: Daily Chart
