NZD/USD Price Forecast: Finds support at 0.5950 near nine-day EMA

• NZD/USD could target the initial barrier at upper boundary of the rectangle around 0.6000.
• The 14-day Relative Strength Index remains above the 50 mark, continuing to attract buyers.
• The primary support appears at the nine-day EMA of 0.5951.

NZD/USD is trading around 0.5960 during the European hours on Thursday. The pair has trimmed its daily losses as a market bias remains neutral. As indicating by the technical analysis of the daily chart, the pair is consolidating within a rectangular pattern and hovering around a nine-day Exponential Moving Average (EMA).

However, the bullish bias is likely to emerge as the 14-day Relative Strength Index (RSI) is maintaining its position slightly above the 50 mark. This suggests that NZD/USD pair continues to attract buying interest.

On the upside, the NZD/USD pair may target the upper boundary of the consolidation range near 0.6000, followed by the next target at the six-month high of 0.6038, last reached in November 2024. A successful breach above this key resistance zone could support the bullish bias to develop and open the doors for the pair to explore the region around the seven-month high of 0.6350, marked in October 2024.

The NZD/USD pair could find the initial support at the nine-day EMA of 0.5951, followed by the 50-day EMA at 0.5877. A break below these levels could weaken the short- and medium-term price momentum and prompt the pair to break below the rectangle's lower boundary around 0.5830. Further decline beneath this crucial support zone could cause the emergence of the bearish bias and pave the way for a deeper decline toward 0.5485, a level not seen since March 2020.

NZD/USD: Daily Chart