NZDUSD Technical Analysis - 04th FEB, 2026NZDUSD - On 4th February 2026, NZD/USD advanced to a high of 0.6063
NZD/USD Technical Analysis - 4th February 2026On 4th February 2026, NZD/USD advanced to a high of 0.6063, a level that underscored the strength of its ongoing bullish trajectory but simultaneously highlighted the presence of firm supply near the 0.6065 psychological barrier. The candle structure was wide ranged with a pronounced upper wick, reflecting how buyers initially drove momentum but were met with resistance as sellers re entered to cap the advance. This rejection suggested that while the broader trend remained constructive, intraday enthusiasm was beginning to fade as the market approached overhead resistance.
On the daily chart, the short term structure remained supportive, with the 20 day moving average positioned around 0.6015, cushioning the advance. The 50 day average, rising from 0.5960, reinforced medium term bullish momentum, while the 200 day average at 0.5720 confirmed the longer term uptrend. Momentum indicators hinted at caution: RSI readings hovered near 67, edging into overbought territory, while MACD values were positive but beginning to flatten, suggesting that upside strength was losing intensity.
Intraday dynamics on the four hour chart revealed stretched conditions. Stochastic oscillators climbed into the upper 80s, flashing overbought signals. Price stalled as sellers defended the 0.6060?0.6070 band, while immediate support was layered at 0.6015 and 0.5985. Volatility compressed into a narrowing corridor, often a precursor to breakout attempts, but the balance of flows suggested hesitation rather than conviction.
The weekly perspective provided broader context. Since the October 2025 trough near 0.5520, NZD/USD has carved a rising channel, with successive higher lows confirming the resilience of the bullish framework. Average True Range readings around 0.0065 reflected controlled but directional swings. Fibonacci retracement mapping from the July 2025 peak at 0.6700 to the October low at 0.5520 highlighted key checkpoints: 38.2% at 0.5965, 50% at 0.6110, and 61.8% at 0.6255. The 0.6063 high aligned closely with the midpoint between the 38.2% and 50% retracement zones, underscoring its importance as a resistance area where sellers were expected to regroup.
Sentiment at this juncture was shaped by the tension between short term overextension and longer term bullish conviction. Institutional flows appeared to fade near the 0.6065 barrier, while retail positioning remained cautious given the proximity to stretched oscillator readings. The ability of the pair to sustain above 0.6015 was critical, as holding this level would preserve the bullish narrative and invite renewed buying interest.
Looking forward, continuation of the rally requires a clean break above 0.6070, which would open the path toward 0.6110 and eventually 0.6255, aligning with Fibonacci retracement checkpoints and prior swing highs. Conversely, a slip back below 0.6015 would expose the pair to corrective pressure toward 0.5985 and 0.5965, levels that coincide with retracement support and medium term averages. Until a decisive breakout occurs, range bound trading between 0.6015 and 0.6070 is likely to dominate, offering tactical opportunities for short term traders while the broader uptrend remains intact.
In summary, NZD/USD?s climb to 0.6063 on 4th February 2026 was not a clean breakout but rather a reaffirmation of overhead resistance. The interplay of moving averages, Fibonacci retracement, and momentum signals pointed to a market pausing at a critical juncture, with sellers defending supply and buyers awaiting confirmation for the next leg higher.
In summary, NZD/USD?s dip to 0.6010 on 30th January 2026 was less a breakdown and more a reaffirmation of structural support. The interplay of moving averages, Fibonacci retracement, and momentum signals pointed to a market pausing at a critical juncture, with buyers defending demand and sellers awaiting confirmation for the next directional move.
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Disclaimer: This analysis represents my own opinion only. It is not to be construed as an opinion, offer, solicitation, recommendation, or financial advice of the Companies operating under the FXOpen brand.
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