NZD/JPY Price Analysis: Cross extends gains, establishes fresh highs above 97.00
- The cross resumed its gains, establishing new cycle highs at levels exceeding 97.00.
- The daily chart continues to display resilience, increasing chances for the upward trend to persist.
On Thursday, the NZD/JPY cross made further gains, moving past the previous resistance at 97.00 and setting a fresh cycle high. At the start of the week, support around the 20-day Simple Moving Average (SMA) at 96.30 held strong as buyers swiftly stepped in to overpower the sellers' efforts to breach this level.
The daily Relative Strength Index (RSI) for NZD/JPY currently stands at 62, denoting a climb from Wednesday's reading and overall positive momentum. Meanwhile, the Moving Average Convergence Divergence (MACD) for today prints decreasing red bars, signifying a reduction in selling pressure.
NZD/JPY daily chart
The bull's resolve to keep its position above the 20-day SMA remains steadfast. This, coupled with the resilience of the daily technical indicators, highlights a clear technical strength of the Kiwi over the Yen. The three consecutive failed attempts from the sellers to breach the 96.30 mark fuelled the buyers' momentum, which paved the way for the climb to fresh highs.
Going forward, the trading sessions may witness the cross oscillate between the immediate support at 97.00 and the resistance target of 98.00. Close monitoring of the breach above the current consolidation range or a dip below the 20-SMA mark could potentially provide insights into future movements.