The market broke its previous weekly and daily major price action level i.e 0.7000 and went till 0.70368 where we have our exponential moving average 200 present on top of the daily candlestick. NZD/USD is moving sideways around 0.7000 on Friday. US Dollar Index pushes lower toward 92.80 ahead of American session. UoM Consumer Sentiment Index data from US will be looked upon for fresh impetus. After losing more than 40 pips on Thursday, the NZD/USD pair seems to have gone into a consolidation phase on Friday and was last seen rising 0.12% on the day at 0.7007. According to our analysis published on 3rd Aug, we expected the market to provide us with a temporary dive towards our major support zone at 0.69220 and it did actually but didnt break the low so we changed our opinion towards favoring the hawks for now as long as the market keeps itself consolidated above the aforementioned level. Now, according to the current market scenario, our exponential moving average 200 and 50 in daily has showed its strength enough as a resistance to prevail New Zealand dollar versus U.S dollar from breaking out of the level along with 50% fibb also supporting the stance of our exponential moving average 200 and 50.

BULLISH AND BEARISH CONDITIONS/ POSSIBILITIES :

In four hourly chart New Zealand Dollar has been showing good signs of bullish strength against US dollar after breaking above the 50% fibb level in daily i.e 0.7010 along with standing above both of our exponential moving averages 50 and 200, indicating that the market might lead a hike towards 0.7060, 0.7080 and 0.7157. The weekly chart is also supporting the bullish stance in accordance to the technicals and levels mentioned in four hourly chart but the daily time frame still has chances of reversing the gains made previous week by NZDUSD. A further breakout above 0.71000 resistance would get us onto joining the bulls after a retest of the previous support, visa vis we would require a breakout below 0.69800 to favor the bears. 

NZDUSD

Aug 15 2021