NZD/USD Price Forecast: Hovers around 0.5950, confines within a consolidation rectangle

• NZD/USD could target the upper edge of its consolidation range around 0.6000.
• The 14-day Relative Strength Index (RSI) remains slightly above the 50 level, indicating a mild bullish bias.
• The initial support is seen near the nine-day Exponential Moving Average (EMA) at 0.5913.

The NZD/USD pair halts its two-day winning streak, trading around 0.5930 during the European hours on Tuesday. Daily chart technicals suggest a neutral outlook, with the pair remaining confined within a consolidation rectangle.

The 14-day Relative Strength Index (RSI) hovers just above the 50 mark, suggesting a slight bullish inclination. Meanwhile, the NZD/USD pair trades near the nine-day Exponential Moving Average (EMA), indicating neutral short-term momentum.

The NZD/USD pair may aim for the upper boundary of the consolidation range near 0.6000, with the next target at the six-month high of 0.6038, last reached in November 2024. A decisive break above this key resistance zone could pave the way for a move toward the seven-month high around 0.6350, marked in October 2024.

On the downside, initial support for the NZD/USD pair lies around the nine-day EMA at 0.5913. A break below this level would signal weakening short-term momentum, potentially driving the pair toward the 50-day EMA at 0.5850, which aligns with the rectangle's lower boundary. A sustained move beneath this critical support zone could further erode medium-term momentum, opening the door for a deeper decline toward 0.5485 -- a level not seen since March 2020.

NZD/USD: Daily Chart