NZD/JPY Price Analysis: Breaks the 200-DMA on its way towards 78.00, followed by a retracement to 77.95 By christianborjon NZDJPY Crosses Technical Analysis
NZD/JPY Technical Outlook: Neutral-upward biased, confirmed by a bullish RSI.
FInishing a busy week on the financial markets, the NZD/JPYended it on the right foot, up 1.25% in the week. Breakingthat Russia would be open to sit down and talk with the Ukrainian Government, increased appetite for riskier assets In the FX space means that risk-sensitive currencies like the NZD and the AUD rose to the detriment of safe-haven peers, like the low yielder Japanese yen. At the time of writing, the NZD/JPY is trading at 77.95.
Friday’s overnight session for North American traders portrayed an upbeat market sentiment, despite the continuation of Russia’s invasion of Ukraine, announced by Russian President Vladimir Putin. In the Asian session, the NZD/JPY was subdued in the 77.20-50 range. However, in the middle of the European session, earlier of New York’s open, the NZD/JPY pair moved upwards, rallying 44-pips, setting Friday’s daily high at78.01.
Upwards, the NZDY/JPY first resistance would be 78.00. Breach of the latter would pave the way towards the 100-DMA at 78.34, followed by January 13 daily high at 78.83. On the flip side, the NZD/JPY first support would be the 200-DMA at 77.89. Once cleared, the next support would be 50-DMA at 77.26, followed by the 77.00 mark.