The NZDUSD fell below its March low at 0.6728 on Monday and again yesterday, but momentum could only get down to 0.67146 at the low on Monday. Yesterday's low was higher at 0.6719. Today, the first hour trading saw a low of 0.6722, but the price quickly moved higher and was able to extend above its 100 hour moving average (blue line currently at 0.6755).
After some waffling above and below that moving average level in the late Asian session, the price started to move higher in the early European session, and has since been able to get above the 100 day moving average at 0.6779 and also the falling 200 hour moving average currently at 0.67916 (green line in the chart above).
The current price is trading just above that level as I type as buyers try to continue the extension of the corrective rally to the upside.
The next target area would be a swing area between 0.6805 and 0.68116. Move above that area and traders will start to look toward the high from last Thursday and the 38.2% retracement near 0.6836..
On the downside, intraday traders may now start to look at the 100 day moving average as the bias defining level. That level currently comes in at 0.67795. The last dip intraday did extend below the at level, but quickly rejected the break. A second move below the moving average might not be met with the dip buyers. That level is now close risk as buyers try to build on the corrective rally higher today.
