NZDUSD continues the fall from last week’s failure at the high going back to January

The NZDUSD continues the fall from last week’s high.

Recall from last week, the price moved higher and extended above swing highs from February 22, March 8, and June 6 up to 0.6215. The high-priced last week extended to 0.6221 but stalled and started the rotation back to the downside.

The rotation to the downside has continued today with the price moving to a low of 0.610637. The lows going back to June 10 bottomed at 0.60987. The rising 200 bar moving average on the 4-hour chart comes in at 0.60956.

Going forward, it would take a moving below 0.61000 level and staying below to increase the bearish bias. A break below that level would have traders looking toward the 38.2% retracement of the move up from the April low near 0.6078, and the 100 and 200 day moving averages between 0.6060 and 0.60679. If the sellers are to take back more control, getting below all those levels would do it.

Conversely dip buyers could lean against the 0.61000 level. If that level holds, a rotation back toward a cluster of moving averages near 0.6151 would be eyed as the closest key resistance area.

This article was written by Greg Michalowski at www.forexlive.com.