Bulls struggle to sustain gains, neutral outlook

• NZD/USD failed to extend its gains and consolidated in a tight range around 0.6140.
• The RSI has dropped to 62, while the MACD is now showing declining green bars, indicating that bullish momentum is slowing.
• A break below 0.6130 could lead to a further decline towards 0.6100.

In Thursday’s session, NZD/USD fell 0.30% to 0.6140, failing to hold on to its gains as bulls took a lull. The pair faces a neutral technical outlook with the Relative Strength Index (RSI) falling and the Moving Average Convergence Divergence (MACD) printing green bars on the downside.

On the daily chart, the RSI dropped back to 62, indicating neutral market sentiment with moderate buying pressure. The decline of the green bars in the MACD suggests a weakening of bullish momentum, supporting the prospect of a potential consolidation or reversal. Volume has decreased in recent sessions, suggesting that the current consolidation will continue.

NZD/USD Daily Chart

NZD/USD faces immediate resistance at 0.6170. A consolidation above this level could open the door for a new rally to retest the 0.6200 area. On the downside, immediate support is in the 0.6130 and 0.6150 range. A break below 0.6130 could lead to a further decline towards 0.6100.