NZDUSD stalls after hitting resistance, tests key support

The NZDUSD currency pair showed strong movement this past week. It found support at its 200-bar moving average, which encouraged buyers to push prices higher. Yesterday, it broke above the 100-day moving average, climbing to new resistance levels. The recent rise took the exchange rate past key points, including the February 21 high of 0.57716. However, it fell short of reaching the 38.2% retracement target at 0.5844. Today’s highest price was 0.5830, but it has since pulled back and is now testing crucial support at 0.5796. If the support holds at this level, there might be another effort to climb higher toward 0.5844. Conversely, if the price drops below 0.5796, it could lead to further declines, with 0.57716 as the next significant support target. In summary, a breakout above the 38.2% retracement level will indicate that buyers are regaining control. If this does not happen, the recent gains could just be a temporary correction within a larger bearish trend.