NZD/JPY hasn’t closed above the 200-day moving average since July 2024, racking up more than ten failed bullish breaks in that time—seven of them in the past month alone. If today’s probe finds more traction, it could be the catalyst to bring bulls off the sidelines, especially on a close above 88.00 where wedge and horizontal resistance intersect.
If that plays out, traders could look to initiate longs above 88.00 with a stop below it or the 200-day moving average for protection. Minor resistance sits at 88.39, offering a nearby hurdle for the setup. Should that give way, 89.20 or 90.00 stand out as logical upside targets.
Alternatively, if the pair fails at the 200-day moving average again, the setup could flip, allowing shorts to be established beneath the level with a stop above for protection. 87.00 or wedge support around 50 pips lower may come into play as downside targets.
Momentum indicators favour upside near term. RSI (14) has broken its downtrend and moved further above 50, while MACD is on the cusp of a bullish crossover, confirming the signal.
Good luck!
DS
If that plays out, traders could look to initiate longs above 88.00 with a stop below it or the 200-day moving average for protection. Minor resistance sits at 88.39, offering a nearby hurdle for the setup. Should that give way, 89.20 or 90.00 stand out as logical upside targets.
Alternatively, if the pair fails at the 200-day moving average again, the setup could flip, allowing shorts to be established beneath the level with a stop above for protection. 87.00 or wedge support around 50 pips lower may come into play as downside targets.
Momentum indicators favour upside near term. RSI (14) has broken its downtrend and moved further above 50, while MACD is on the cusp of a bullish crossover, confirming the signal.
Good luck!
DS
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.