NZD/JPY Price Analysis: Cross consolidating near 88.00

• NZD/JPY is moving sideways after a three-day winning streak and mixed technical signals are emerging.
• The RSI remains near the oversold zone despite the rally, and the MACD is printing bearish red bars.
• Declining volume suggests that selling pressure is easing, indicating a potential reversal.

The NZD/JPY currency pair remained in a consolidation pattern on Friday, hovering around the 88,000 level. While the pair has experienced a three-day winning streak, technical indicators are showing contrasting signals and the pair is set to trade sideways.

Technically, the Relative Strength Index (RSI) indicator is currently at 30, indicating that the pair is still in oversold territory. This suggests there may be more room for recovery. The MACD (Moving Average Convergence Divergence) indicator, on the other hand, is showing falling red bars, which could signal a stagnation of selling pressure. Trading volume has decreased in recent sessions, which could indicate that selling pressure is easing. This is a positive sign for the bulls as it suggests that they may be gaining some momentum.

The bulls are trying to push the pair higher towards the 88.50 resistance level and if they manage to break this level, it could open the door to further gains towards the 89.00 area. However, if the bears regain control and push the pair below the 88.00 level, it could lead to a deeper correction towards the 87.50-87.00 support zone.

NZD/JPY Daily Chart