Corrects to broken levels
The NZDUSD broke below an upward sloping trend line and 100 hour MA (blue line in the chart below). The 100 hour MA comes in at 0.68834. The underside of the trend line comes in now at 0.6886.
The break sent the price to a lower trend line on the hourly at 0.6870. That was just below the swing high from Jan 28th. Holding has led to a bounce.
The bounce has taken the price back to the 100 hour MA and the underside of the trend line. A battle is on between the technical levels.
On Friday, the price spiked higher but stalled after takingo the January high at 0.6938. The high could only get to 0.6841. That was not good enough for the break and buyers took profit.
The correction is on but the question - on the back of the break below the trend line and 100 hour MA - is how far can it go? The test here (right now), will help that discovery on which way the market is leaning..