The technical outlook favors further downside in the near term as bears push lower

• The NZD/JPY pair has been in a downtrend, falling in four of the last six sessions.
• The RSI is oversold and has a downward slope, indicating that selling pressure is building.
• MACD is also negative and the histogram is rising.

In Friday’s session, NZD/JPY fell more than 1% to 86.60, marking another day of losses. The pair has been in a downtrend over the past week, closing lower in four of the last six sessions. The overall technical outlook for NZD/JPY is negative and the pair is likely to continue to decline in the near term.

The RSI is currently near 30, approaching the oversold zone. The RSI slope is also declining, suggesting that selling pressure is building. The MACD is also negative and the histogram is rising, indicating that selling pressure is building. However, oversold signals may indicate that the pair may be poised for an upward correction to consolidate the latest downward moves.

NZD/JPY Daily Chart

Supports on the downside are located at 86.00, 85.00 and 84.00, while resistances are seen at 88.00, 89.00 and 90.00.