NZDJPY has been trending upwards since the beginning of 2021 but seems to be lacking the necessary momentum to challenge its 4-year highs. After peaking at 82.49, the pair has been moving without a clear direction, while the immediate bias seems neutral.
The short-term oscillators provide mixed conclusions. On the one hand, both 50- and 200-day simple moving averages (SMAs) are ticking upwards and the price is trading above the Ichimoku cloud, suggesting a bullish bias. However, the MACD histogram is below its red signal line, while the RSI is declining near the 50-neutral mark, endorsing a loss of steam for the pair.
Should the buying pressure intensify, buyers may target the recent high of 82.49. Overcoming this level, the next obstacle might be the July 2017 resistance zone of 83.25. If the price continues to ascend, the next barricade might be the 4-year high of 83.88.
On the flipside, the first target for the bears might be the 80.18 level. A drop below this barrier would open the way towards 79.44, and even lower the price could test the 78.70 hurdle. If these obstacles fail, then the price might seek to halt its decline at the 78.00 region, which has provided both support and resistance in recent months.
To sum up, NZDJPY is sustaining a bullish tone as it fluctuates close to record highs. A profound break above 82.49 would strengthen the long-term positive bias, whereas a move below 78.00 can turn the short-term picture to negative.
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