NZD/USD Extends the Losses Likely To Move Towards 0.7140

#OPINIONLEADER#

ByLCMS Traders FX Analysis Team

 JUN 3, 2021

NZD/USD is trading lower for a third consecutive day and is currently trading at 0.7209 which is a strong support area. Other support areas are at 0.7178 and 0.7162. The intraday resistance levels are at 0.7227 and 0.7248.

On the intraday charts, the bearish momentum appears to be heading below the 0.7200 mark. The SMA-14 is indicating resistance at 0.7226 and the SMA-50 resistance area is at 0.7162. The pair has also moved below the mid-Bollinger band while the upper and lower bands are at 0.7305 and 0.7149. The RSI is at 49 and has a downwards curve. Considering the intraday and 4-hourly price patterns, the pair is currently ideal for selling at the following levels

Direction: Sell

Entry: 0.7220

Target Range: 0.718 – 0.7165

Stop-Loss: 0.7245

A breach below 0.7200 would be an indication of a further drop towards 0.7160 and 0.7120. On the upside, bears need to build momentum above the SMA-14 (0.7226) to get back into the game.