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NZD/USD pulls back from a 11-month low at 0.5773.
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The pair inclines toward the weaker sentiment suggested by the technical indicators.
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Nine-day EMA appears to be the barrier lined up with the 0.5850 psychological level.
NZD/USD dropped to a 11-month low at 0.5773 on Thursday. However, the pair has retraced the daily losses during the European session, struggling to halt a two-day losing streak.
The moving average convergence divergence (MACD) line remains below both the centerline and signal line, setting a bearish tone for the NZD/USD pair, echoing market sentiment. Investors will likely look to Friday’s Kiwi consumer confidence, a key indicator measuring sentiment and the economic outlook.
The pair traded around the 0.5800 psychological level and followed the nine-day exponential moving average (EMA) at 0.5849, which emerged as key resistance aligned with the 0.5850 key level.
A firm break above the level could contribute support for the NZD/USD pair to explore the next psychological zone around the 0.5900 level after the 23.6% Fibonacci retracement at 0.5920.
On the downside, the area around the intraday low could again act as immediate support and follow the November low at 0.5740.
Furthermore, the NZD/USD duo reveals a subdued momentum, with the 14-day Relative Strength Index (RSI) showcasing a clear inclination towards weakness, dipping below the 50 level.
NZD/USD: Daily Chart
NZD/USD: ADDITIONAL LEVELS TO WATCH
