The NZD/USD pair is currently exhibiting a bearish pennant pattern, confining recent trades within its parameters. For the negative implications of this pattern to unfold, the price must breach the key level at 0.6095. A successful breakout below this level would activate the bearish effect, setting the stage for a downward rally with initial targets at 0.6070, followed by a more extended move towards 0.6000.
The bearish outlook is reinforced by the downward pressure exerted by the EMA50. However, it’s important to note that a breach of the resistance at 0.6140 would negate the anticipated decline, potentially leading to a reversal in the price trajectory.
The projected trading range for the current session is expected to fluctuate between the support level at 0.6060 and the resistance level at 0.6160.
In summary, the prevailing trend suggests a bearish trajectory for the NZD/USD pair in the upcoming period, contingent on the breach of the pivotal support level at 0.6095.