NZD/USD is seen down 0.4% to 0.6950 levels currently
As things stand, sellers are in near-term control as price action hovers below both key hourly moving averages – also tracking under 0.7000 once again.
This puts pressure on last week’s low @ 0.6943 as a break below that may see the downside momentum accelerate further as sellers break past another technical support.
For buyers, they need to hold above that and push back towards the 100-hour moving average (red line) @ 0.6989 in order to seize back some near-term control.
Ultimately, the 200-hour moving average (blue line) is the key near-term resistance level to watch after having been defended in trading yesterday.
Looking at the bigger picture:
The pair is consolidating a little upon a break below 0.7000 after the meltdown last week.
But as long as price action keeps below the figure level and sellers manage to keep pushing the agenda, there might be room for a further correction towards the 200-day moving average (blue line) @ 0.6873 before buyers step back into the picture.