The New Zealand Dollar depreciated about 50 base points against the US Dollar on Friday. The decline started when the currency pair tested a resistance level formed by the upper boundary of an ascending channel pattern at 0.6940.
The exchange rate was stranded between SMAs during the first part of Monday’s trading session. The 50-hour simple moving average was providing resistance for the pair at 0.6910, while the 100-hour SMA was providing support at 0.6882.
A breakout from the moving averages could be expected within this session. Technical indicators suggest that bulls are likely to prevail in the market during the following trading session.
