NZD/USD recovers after refreshing monthly low, prints four-day losing streak.
200-day EMA challenges bears ahead of the key Fibonacci retracement levels.
NZD/USD picks up bids to 0.7024, following a downtick to a fresh monthly low, during early Tuesday. In doing so, the kiwi pair struggles between 50-day and 200-day EMAs amid bearish MACD.
Given the MACD conditions and sustained trading below 50-day EMA, NZD/USD may remain pressured towards breaking the immediate support of 0.7020, comprising the 200-day EMA.
However, the 0.7000 psychological magnet may challenge the pair sellers afterward, if not then the 50% and 61.8% Fibonacci retracements of August-September upside, respectively near 0.6985 and 0.6940, will be in focus.
On the flip side, a clear break of 50-day EMA, near 0.7040 at the press time, becomes necessary to convince buyers for fresh entry.
Following that, September 08 low close to 0.7075 and the 0.7100 round figure will challenge NZD/USD buyers.
Overall, NZD/USD sellers seem tired and hence a corrective pullback can’t be ruled out.
NZD/USD: Daily chart
Trend: Pullback expected