NZDUSD bases off 100 day MA. Buyers try to take back control.
Other targets ahead need to be broken for more momentum
The NZDUSD moved to a new session high and in the process has moved the range for the day to 24 pips. That is still not a whole lot. To give you an idea, the 22 day average is 55 pips. There is some room to roam and the buyers are trying to seize more control, and in the process get more traders on the "Low is in" idea.
What gives the buyers confidence?
Well looking at the hourly chart above, the pair did move to new lows today, taking out the low from last week and yesterday. However, at the low for the day, the price stalled against the 100 day MA at 0.67196 a few times. Holding support against the key MA, gives those dip buyers a level to define and limit risk. It also may give shorts - who have run the pair down over the last few weeks, cause for pause and fear of a corrective move higher.
The combination of buying against the key support level (as a new trade) and taking profit on a profitable trade, can lead to buyers overwhelming sellers.
Time will tell but what I would expect is the buyers to lean against the 100 day MA and hope for a move back above the 200 day MA at 0.6752, the 100 hour MA at 0.6755 and the broken trend line at 0.6759. That would give the buyers more confidence, and may lead to more short covering in the pair.
All bets are off on a break of the 100 day MA...I would expect stops on a break below.