NZD/USD Price Analysis: Pokes 0.5590 support with eyes on fresh yearly low

• NZD/USD remains pressured around one-week low, prints three-day downtrend.
• Weekly support line challenges intraday sellers ahead of the two-year low.
• Bearish MACD signals, sustained trading below the key SMAs keep sellers hopeful.
• Buyers need validation from monthly high to retake control.

NZD/USD sellers attack a one-week-old support line near 0.5590 early Monday morning in Europe. In doing so, the Kiwi pair drops for the third consecutive day while declining to the lowest levels since September 30.

Given the quote’s sustained trading below the 100-SMA and the 50-SMA, as well as the bearish MACD signals, the NZD/USD prices are likely to conquer the 0.5590 immediate support.

Following that, the recently flashed multi-month low near 0.5565 could gain the bear’s attention.

If the NZD/USD prices remain weak past 0.5565, a downward trajectory towards the March 2020 bottom surrounding 0.5470 and then to the 61.8% Fibonacci Expansion (FE) of September-October moves, near 0.5445, can’t be ruled out.

Alternatively, the 50-SMA and the 100-SMA guard the NZD/USD pair’s immediate recovery around 0.5685 and 0.5755 in that order.

Even if the quote rises past 0.5755, it needs to cross the monthly high of 0.5815 to convince the buyers.

Overall, NZD/USD is all set to refresh the multi-month low marked in September.

NZD/USD: Four-hour chart

Trend: Further weakness expected