NZD/USD Price Analysis: Depressed at six-week low around 0.6950 past NZ Retail Sales

• NZD/USD remains pressured after two-day downtrend on downbeat data.
• New Zealand Q3 Retail Sales plunged to -8.3% versus +3.3% QoQ.
• Clear break of two-month-old support line, bearish MACD signals favor sellers.

NZD/USD stays depressed around 0.6960, following a two-day downtrend during early Tuesday morning in Asia. The Kiwi pair’s recent weakness could be linked to a clear break of an ascending support line support from late September and downbeat prints of New Zealand (NZ) Q3 Retail Sales.

New Zealand Retail Sales dropped past 3.3% QoQ to -8.3% during the third quarter (Q3). That said, the Retail Sales ex Autos followed the tune with -6.7% QoQ figures versus +3.4% previous readouts.

Also read: NZD/USD held back in flight into the US dollar ahead of RBNZ

As data disappointment follows the trend line breakdown, coupled with the bearish MACD signals, NZD/USD bears are up for challenging the 0.6900 threshold, also comprising multiple lows marked in early October.

It should be noted, however, that the last month’s bottom surrounding 0.6875 and September’s trough of 0.6859 will make it harder for the sellers to dominate further.

In a case where the quote remains pressured past 0.6860, the yearly low marked in August around 0.6805 will be in focus.

Meanwhile, the corrective pullback may aim for the previous support line near 0.6990 and the 0.7000 round figure as immediate resistances to tackle.

Also challenging the short-term NZD/USD buyers is the 61.8% Fibonacci retracement level of September-October upside, near the 0.7000 psychological magnet, followed by a descending resistance line from November 15, at 0.7030 by the press time.

NZD/USD: Four-hour chart

Trend: Further weakness expected