• NZD/USD may test the 16-month high of 0.6121.
• The 14-day Relative Strength Index at 82 suggests a potential cooling phase before the uptrend resumes.
• Immediate support is seen at the lower ascending channel boundary near 0.6020.

NZD/USD continues its winning streak that began on January 16, trading around 0.6080 during the European hours on Thursday. The technical analysis of the daily chart signals a persistent bullish bias as the pair price rises within the ascending channel pattern.

The NZD/USD pair holds above the nine-day Exponential Moving Average (EMA) and the 50-day EMA, reinforcing a bullish bias. The positive alignment of short- and medium-term averages supports an extension higher. The nine-day EMA continues to rise and maintains clear separation above the 50-day average, keeping the trend on the front foot.

The 14-day Relative Strength Index (RSI) at 82 (overbought) flags stretched conditions that could temper follow-through. RSI remains overbought, so a cooling phase could unfold before the trend resumes.

The NZD/USD pair may target the 16-month high of 0.6121, which was recorded in July 2025, followed by the upper boundary of the ascending channel around 0.6150. A break above this confluence resistance zone would expose the psychological level of 0.6200 as a barrier.

On the downside, the immediate support lies at the lower ascending channel boundary around 0.6020, followed by the nine-day EMA at 0.5961. A break below would weaken the short-term price momentum and put downward pressure on the NZD/USD pair to test the 50-day EMA at 0.5818.

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