The New Zealand Dollar extends gains as technical momentum and broad USD softness drive the pair toward key resistance levels.
The New Zealand Dollar climbed above 0.5850 against the USD, extending a three-day rally amid broad US Dollar weakness and improved risk sentiment. The pair cleared its 200-day Simple Moving Average, reinforcing a bullish technical outlook as traders eye the 0.6000 mark.
Prior resistance at the 100- and 200-day SMAs near 0.5821/23 has been surpassed, with momentum indicators like the Relative Strength Index signaling further upside. The next target is the May 29 high at 0.5995, followed by 0.6000 and the February peak at 0.6077.
Support levels now rest at 0.5850, with deeper floors at the 100- and 200-day SMAs around 0.5821/23 and the 50-day SMA at 0.5790.