The NZDUSD has been trading in an up and down trading range today after the sharp rise higher yesterday.
The price action has been mostly center between the lower swing area between 0.6798 and 0.6806 and a higher swing area between 0.6833 and 0.6838. There have been modest breaks of those swing areas both on the downside and upside, but momentum could not be sustained and the vast majority of trading has occurred between the levels.
The current price is trading at 0.6826.
The short term bias may be a little more to the upside. The price is back above the 100 and 200 hour moving averages (blue and green lines near 0.6760). The price also formed a triple bottom at the 0.6700 level earlier this week which acted as a strong springboard to the upside over the last few days.
However, there is plenty of upside target set still needed to be broken given the sharp move to the downside since the October 28 high at 0.72163.
The 0.68548 to 0.6866 area is the next upside target to get to and through (will get the price outside of the range since November 25).
Above that sits the 38.2% retracement of the move down from that October 28 high which comes in at 0.68977.. If a corrective move can get above the 38.2% retracement, but it’s a simple correction in a bear market.