#NZDUSD @ 0.64484 has refreshed its weekly low around 0.6440 amid negative market sentiment. (Pivot Orderbook analysis)

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• NZD/USD has refreshed its weekly low around 0.6440 amid negative market sentiment.
• The Kiwi asset has delivered a breakdown of the consolidation and a Rising Wedge pattern.
• A slippage of the RSI (14) into the 20.00-40.00 range has weakened the New Zealand Dollar.

The pair currently trades last at 0.64484.

The previous day high was 0.6509 while the previous day low was 0.6461. The daily 38.2% Fib levels comes at 0.6479, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.6491, expected to provide resistance.

The NZD/USD pair has printed a fresh weekly low at 0.6440 in the Asian session as investors’ risk-taking ability has faded dramatically. The Kiwi asset has been dumped by the market participants as the US Dollar Index (DXY) is advancing vertically.

The risk aversion theme is impacting risk-sensitive assets like S&P500 futures, which have surrendered their entire gains recorded in Asia and have resumed their downside journey. Volatility in the market has accelerated ahead of the interest rate decision by the Federal Reserve (Fed).

NZD/USD has delivered a downside break of the consolidation formed in a range of 0.6451-0.6515 on a four-hour scale, which indicates a volatility explosion that set grounds for wider ticks and heavy volume. The asset has also delivered a breakdown of the Rising Wedge chart pattern, which indicates a bearish reversal.

The Kiwi asset has also surrendered the 23.6% Fibonacci retracement support (placed from January 6 low at 0.6190 to January 18 high at 0.6531) at 0.6450.

Also, the Relative Strength Index (RSI) (14) has shifted into the bearish range of 20.00-40.00, which indicates more downside ahead.

Going forward, a breakdown below January 16 high at 0.6426 will drag the Kiwi asset toward January 17 low at 0.6366 followed by January 12 low around 0.6300.

On the flip side, the asset needs to surpass Wednesday’s high at 0.6530 for a resumption in the upside, which will drive the asset toward June 3 high at 0.6576. A breach of the latter will expose the asset to the round-level resistance at 0.6600.

Technical Levels: Supports and Resistances

NZDUSD currently trading at 0.6442 at the time of writing. Pair opened at 0.6469 and is trading with a change of -0.42 % .

The pair remains strongly bullish on the daily timeframe. It trades above its 20 SMA @ 0.6402, 50 SMA 0.6353, 100 SMA @ 0.6088 and 200 SMA @ 0.6193.

The previous day high was 0.6509 while the previous day low was 0.6461. The daily 38.2% Fib levels comes at 0.6479, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.6491, expected to provide resistance.

Note the levels of interest below:

• Pivot support is noted at 0.645, 0.6432, 0.6402
• Pivot resistance is noted at 0.6498, 0.6528, 0.6546

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