FX.co ★ Kool | NZD/USD

NZDUSD D1 Chart Analysis: On a daily basis, NZD/USD has been trading much lower over the past several months, exceeding the low hit last month. The dismal atmosphere in the market reinforces the market trend. While this was the case, the Bulls made a strong effort to push the price higher, and it has again returned to the support level that was violated last week. We'll have to watch how much strength the Bulls can carry beyond this support zone, which has now turned into a power resistance zone. Based on last month's market performance, it is evident that the market is in a tough position to break through. As soon as we see a bearish rejection candle, we should pay close attention to this place. If the price can break above this level with considerable force, it will move on to the 0.56062 Resistance Zone/Supply Zone. This level has bounced several times on the H4 time frame, and it should be noted that it was where the Big Bearish candle closed last trading week, making it tough to break out. Similarly, a lower-low market structure may have been observed two weeks ago. When the price failed to reach a new high, it fell, creating a lower-lows market structure. The preceding example clearly shows how the market is striving to lower the price in order to gain momentum. Larger time frames also indicate a clear downward trend on a daily basis. If you're curious, here's my chart labeling for reference: