IN the Asian Pacific session, the RBNZ cut rates by 50 basis points as expected, triggering a decline in NZDUSD. The pair initially broke below a key swing area between 0.5683 and 0.5694, but buyers quickly stepped in at the rising 200-hour moving average (green nline in the chart below at 0.5679), preventing further downside. This support level provided a foundation for a rebound, pushing the price higher.

Following the bounce, NZDUSD climbed back above the 100-hour moving average (blue line currently at 0.5709) and cleared the 0.5723 swing level (red solid line) signaling a potential shift in momentum. However, the upside move lacked strong follow-through, and buying interest began to fade. As a result, the pair has since rotated back to the downside, putting the 100-hour moving average to the test once again.

This MA level now serves as a key short-term decision point for buyers and sellers. If the price can hold above 0.5709 and reclaim 0.5723, the next upside target would be a retest of Monday’s high at 0.5749. A sustained move above this level would further strengthen the bullish case.

Conversely, a break below the 100-hour MA would indicate renewed selling pressure. In that scenario, traders will focus on the 0.5683 - 0.5694 swing area as the next downside target, followed by the rising 200-hour moving average at 0.5679. The next directional break will determine near-term momentum and set the tone for upcoming price action.

Technical Levels in Play:

• Support Levels:

  • 100-hour moving average → 0.5709 (short-term pivot)
  • Swing area → 0.5683 - 0.5694
  • 200-hour moving average → 0.5679

• Resistance Levels:

  • Swing level → 0.5723
  • Monday’s high → 0.5749

• Key Trading Signals:

  • Above 100-hour MA & 0.5723 → Buyers in control, targeting 0.5749.
  • Below 100-hour MA → Sellers take control, eyeing 0.5683 - 0.5694, then 0.5679.