The New Zealand Dollar declined by 262 pips or 4.39% in value against the US Dollar on Wednesday. The currency pair tested the weekly S3 at 0.5447 during the first half of today’s session.
The exchange rate bounced off the lower boundary of a descending channel pattern on Thursday morning. Most likely, the NZD/USD pair will continue to edge higher until it reaches a resistance cluster formed by the 50– hour simple moving average and the weekly S1 at 0.5891.
However, the resistance level at the 0.5725 area could hinder the currency exchange rate from gaining strength within this session.
