NZDUSD Down 6 Pips Over Past Hour, Moves Down For the 2nd Consecutive Day; Breaks Below 50 and 200 Day Averages

Hourly Update

(Last Updated November 11, 2021 3:21 GMT)

At the moment, NZDUSD’s rate is down -6 pips (-0.08%) from the hour prior. It’s been a feast for bears operating on an hourly timeframe, as NZDUSD has now gone down 8 of the past 10 hours. If you’re a trend trader, consider that the strongest clear trend on the hourly chart exists on the 20 hour timeframe. The moving averages on the hourly timeframe suggest a choppiness in price, as the are all in a mixed alignment — meaning the trend across timeframes is inconsistent, indicating a potential opportunity for rangebound traders.

NZDUSD End of Day Recap

Updated 00:30 GMT (04:30 EST)

NZDUSD is down 60 pips (0.84%) since the day prior (opening today near 0.7064), marking the 2nd consecutive day it has gone down. Out of the 39 instruments in the Forex asset class, NZDUSD ended up ranking 36th for the day in terms of price change. Here is a price chart of NZDUSD.

NZDUSD

NZDUSD Technical Analysis

Moving average crossovers are always interesting, so let’s start there: NZDUSD crossed below its 50 and 200 day moving averages yesterday. As for the alignment of the moving averages, well, it’s a bit mixed up; the 20, 50, 100, and 200 do not progress from largest to smallest, or vice versa. The closest is the 50 day average, which is 2 pips away. It should be noted, though, the 50 day simple moving average turned downwards, which may be a bearish sign. Volatility for NZDUSD has been contracting over the past two weeks relative to volatility over the past month. Whether volatility reverts will be something to watch. The clearest trend exists on the 30 day timeframe, which shows price moving up over that time. For additional context, note that price has gone up 7 out of the past 14 days.

The View From Around the Web

We’re seeing some traders come out with interesting conviction on NZDUSD, with 4 buy signals on our radar and 6 sell signals. This imputes a buy/sell ratio of 0.67, which is bearish. As for the rationale, technical traders seem to be citing the appearance of head and shoulders technical patterns. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

we actually looking buy opportunities here, As you can see it hit Demand level eventually creating a newest Lower High till we reach our level at SUPPLY that’s when we can look for SELL’s