FxNews—The NZD/USD downtrend was triggered from $0.587, and the bears have prevailed in the sentiment ever since. However, the extreme selling pressure caused the Stochastic Oscillator to hint at an oversold market by depicting 6 in the description.
This signals a consolidation or a trend reversal could be on the horizon.
NZDUSD Technical Analysis – 11-December-2024
From a technical perspective, it is not advisable to join a bear market when it is saturated with sellers. Hence, we suggest waiting patiently for the currency pair to begin a consolidation phase.
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In this scenario, NZD/USD could rise toward the 23.6% Fibonacci retracement level at $0.582, followed by the $0.584 resistance. Traders and investors should monitor these levels for bearish signals, such as candlestick patterns.