The NZD/USD pair has encountered downward pressure, resulting in the breach of the support line within the established bullish channel. This breach signals the initiation of a bearish correction, retracing the prior ascent from 0.5772 to 0.6368, with downside targets set at 0.6140.
Consequently, a bearish bias is anticipated for the current session, with a pivotal level at 0.6227. The validation of the bearish outlook requires a breach below this level, reinforcing expectations for a decline in subsequent sessions. However, it is worth noting that surpassing the 0.6260 mark would negate the projected decline, facilitating a resumption of the primary bullish trend.
The projected trading range for today spans between the support at 0.6170 and the resistance at 0.6260. Traders should closely monitor these levels for potential breakout or reversal signals.
In summary, the NZD/USD pair is currently in a bearish correction phase following the breach of the bullish channel’s support line. The key level to watch is 0.6227, with a breach below signaling a continued decline towards the target of 0.6140. However, a breach above 0.6260 would nullify the bearish outlook, allowing for a potential resumption of the main bullish trend. Traders are advised to stay attentive to these critical levels for effective decision-making.