NZDUSD moves back above a swing area
The NZDUSD is lower on the day. The low price today moved below a swing area on the hourly chart above between 0.62019 and 0.62108. It also fell below the low price from Friday’s trade 0.6208. The low price extended to 0.619256 in the early US session, but has rebounded over last six or so trading hours.
With Europe closed for Easter Monday, the move to the downside this morning may have been overdone due to limited liquidity. Nevertheless technically, the sellers had their shot below the swing area (and also below the 61.8% retracement of the range since early March). However, they missed as momentum could not be sustained.
The price has more recently moved back above the high of the swing area at 0.62108. The current price trades at 0.6222.
Dip buyers looking for more upside could reuse the 0.62019 (low of swing area) as support/risk defining level. On the topside, getting back above the 50% midpoint of the same range since the March low at 0.62299 would give buyers more confidence. However ultimately this week, it would take a move back above the 200 and 100 hour moving averages (green and blue lines in the chart above). Those levels come in at 0.6264 and 0.6271 respectively.