In our previous analysis we anticipated the current bearish reversal on the NZDJPY keeping the failure of breaking above 61.8% fibo level on our interday chart. Japanese Yen gained strength today after taking most of the cross currency pairs towards their daily pivots and losing some of the gains from yestarday preceeded by King Dollar strength. Currently New Zealand Dollar versus Japanese Yen are still hovering above our major support zone 75.90 i.e 61.8% fibo on our daily and weekly time frame, supported by exponential moving average 200 on the daily chart while stuck below the exponential moving average 50. On the other end the Senkou Span A and B are having a cross over - developing another support for the pair to avoid more losses in the market. 

BULLISH AND BEARISH CONDITIONS/ POSSIBILITIES :

The NZD/USD has regained some ground over the last sessions, favored by a somewhat softer greenback. US Treasury yields, which had been boosting the recent USD rally have pulled back, with the benchmark 10-year note falling below 1.5% for the first time since Monday. Coming back to the technical side, we remain firm towards hawkish sentimentds on NZDJPY, taking the trend line and the aforementioned levels in terms of support in our market forecast as a retest zone for the pair to provide further bullish projections. On the bearish side we would need the pair to step out of the complex corrective structure on the daily chart and below 75.90 with an impulsive dovish stance to alter the trend and favor the bears. 

MARKET FORECAST :

Oct 01 2021