NZDUSD bouncing back
The New Zealand dollar recouped some losses after hitting a triple bottom last month. The pair is striving to hold on to its gains, with the base of the bullish breakout at 0.5880 as an essential level to keep the Kiwi’s edge. A close above 0.6060 will be an encouraging sign. Bulls must break 0.7020 before they can hope for a sustained extension. On the downside, a bearish move would expose the recent support at 0.5980, a critical floor in the near term.
EURUSD hitting higher highs
The euro continues dominating its main rival as prices creep up to 1.0800. The move has led short-term sellers to liquidate their positions. The pair is testing 1.0780 from the start of a breakout rally this month. This is a critical ceiling to maintain the rally, and a bullish breakout would open the door for a move towards the March high of 1.0950. The RSI’s overbought momentum could attract some traders to move for another lower high, around 1.0720.
US 30 overbought
The Dow Jones 30 progressed as the index extended its seven-day winning streak. Price action goes from strength to strength after breaking above 39000. 38600 is the current support where buyers have stepped in, but now 39600 could prove to be challenging to crack after previous firm resistance. Its breach could push the Dow to another record high. Conversely, a deep correction could send the price to 38450.
