NZD/USD Bears Target Deeper Correction Amid US Dollar StrengthIn the daily time frame, ERRANTE:NZDUSD has entered a corrective phase following a significant uptrend that began in mid-July. After climbing steadily, the pair is now showing signs of weakness, as sellers attempt to capitalize on the recent reversal.
The ERRANTE:NZDUSD pair is facing strong selling pressure as the US dollar gains strength, with sellers eyeing deeper support levels at 0.62175 and 0.61996. A sustained break below these levels could lead to further declines toward 0.61739 and potentially 0.61257.
However, a break above 0.62518 would shift the outlook and set the stage for a recovery toward 0.63148 and beyond.
Traders should remain alert to key US economic data releases, as any surprise in the jobless claims or ECONOMICS:USBCOI ISM non-manufacturing PMI could lead to significant moves in the pair. The path forward for NZD/USD remains dependent on the balance between Fed policy expectations and global risk sentiment.
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