• NZD/USD may approach the upper horizontal channel boundary around 0.6060.
• The 14-day Relative Strength Index near 53 signals mild upside pressure after easing from overbought levels.
• A close below the nine-day EMA would strengthen downside momentum toward the 0.5930 horizontal channel support.

NZD/USD remains steady after registering modest losses in the previous session, trading around 0.5990 during the European hours on Friday. The technical analysis of the daily chart signals a neutral bias, and the pair is consolidating within a horizontal channel.

Additionally, the 14-day Relative Strength Index (RSI) around 53 sits just above the midline, indicating only mild upside pressure after cooling from overbought conditions earlier in the month. The recent inability to extend gains toward the upper horizontal resistance suggests buyers retain control but lack the conviction seen in the prior impulsive leg higher.

The NZD/USD pair holds above its rising 50-day Exponential Moving Average (EMA) while clinging to the flattened nine-day average at 0.5989, keeping a modest bullish bias intact but with fading momentum.

As long as price holds above this support band and the 50-day average, pullbacks would remain corrective within the prevailing bullish structure around the upper boundary of the horizontal channel around 0.6060. A break above the channel would support the pair to approach the 16-month high of 0.6121, which was recorded in July 2025.

A daily close below the nine-day EMA would reinforce downside momentum, exposing NZD/USD pair to initial support near 0.5930 at the lower channel boundary, which aligns with the 50-day EMA at 0.5924. A break below the medium-term average would put downward pressure on the pair to navigate the region around an almost three-month low of 0.5711.

(The technical analysis of this story was written with the help of an AI tool.)