NZD/JPY Price Analysis: Negative momentum gains traction, broader outlook still positive

Source Fxstreet
Apr 12, 2024 20:14
  • The daily chart RSI signals NZD/JPY's shift towards negative momentum.
  • Hourly RSI reveals an oscillating pattern in oversold territory, indicating increasing bearish pressure.

The NZD/JPY declined to 90.95 on Friday, marking a decrease of 1%. Sellers have gained significant ground and hourly indicators indicate oversold conditions which suggests that the pair might sideways trade in the next sessions. As for now, the short term has turned somewhat bearish for the cross as it lost the 20-day Simple Moving Average (SMA).

Based on the indicators of the daily chart, the NZD/JPY has pivoted towards a negative momentum. Its Relative Strength Index (RSI) is settling into negative territory, with a last reading of 47. This change indicates that sellers are taking control after a period of positive strength that had the RSI peaking at 63 this week.

NZD/JPY daily chart

From the hourly chart, the RSI values reveal oversold conditions, with the most recent reading dipping to 30. The Moving Average Convergence Divergence (MACD) histogram generates flat red bars, signaling sustained negative momentum. This coincides with a drop in buyer demand over the past hours, and it could set the tone for the upcoming trading sessions. However, a consolidation shouldn't be ruled out as bears might take a breather.

NZD/JPY hourly chart

In the broader outlook, the NZD/JPY, based on its Simple Moving Average (SMA) still holds a positive outlook as it holds above the 100 and 200-day SMAs. However, the cross, having fallen today below the 20-day SMA, presents a bearish signal for the short term which aligns with the indicators on the daily and hourly chart.

 

NZD/JPY

Overview
Today last price 90.95
Today Daily Change -0.97
Today Daily Change % -1.06
Today daily open 91.92
 
Trends
Daily SMA20 91.09
Daily SMA50 91.35
Daily SMA100 90.65
Daily SMA200 89.26
 
Levels
Previous Daily High 91.97
Previous Daily Low 91.28
Previous Weekly High 91.7
Previous Weekly Low 90.11
Previous Monthly High 92.2
Previous Monthly Low 90.17
Daily Fibonacci 38.2% 91.71
Daily Fibonacci 61.8% 91.55
Daily Pivot Point S1 91.47
Daily Pivot Point S2 91.03
Daily Pivot Point S3 90.78
Daily Pivot Point R1 92.17
Daily Pivot Point R2 92.42
Daily Pivot Point R3 92.86

 

 

Disclaimer: For information purposes only. Past performance is not indicative of future results.
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