The NZD/USD downside momentum continues
The pair is down to a session low of 0.6472, fresh lows since 2 December. Of note, price is closing in on another test of a key support level - the 100-day MA (red line) this time.
That is seen @ 0.6467 and a break below that will see sellers establish a more bearish bias in the pair, giving rise to more conviction to extend the downside momentum.
There is also minor support seen around 0.6444-64 but the downside move here may well be looking towards 0.6400 next as the aussie and kiwi continue to be pummeled.
In this regard, just be mindful of AUD/USD falling off a cliff below the 0.6700 handle as that may drag the kiwi alongside it over the next few sessions.
In the meantime, as long as the coronavirus outbreak continues to have significant implications for the Chinese economy and commodity prices, expect that to have negative spillovers to the aussie and kiwi as well.
