NZD/USD bears lurking front side of bearish trendline

• NZD/USD is correcting into bearish resistance between 0.6150 and the 0.6170s.
• Bears eye a move lower while front side of the bearish trendline. 

NZD/USD is flat in the early Asian session and start of the week. The pair is around 0.6135 within a bearish trend and near a fresh low for the month as the US Dollar leads the pack.

´´That was likely a hangover from soft CPI numbers earlier in the week, with markets likely taking the view that soft NZ Consumer Price Index, CPI, might be a harbinger of things to come in AU this week, with neither the Kiwi or Aussie following other correlated currencies like EUR and GBP higher,´´ analysts at ANZ Bank said. 

As for the US data, ´´preliminary PMI data indicated a firming in economic activity this month as composite indices recovered to their highest levels in 12 months,´´ the analysts said in a note on Monday morning.

´´ The FOMC is now beginning its blackout period and the ECB will start its quiet period late next week. The market is currently over 90% priced for a 25bp rate rise from the FOMC.´´

On the domestic front, after the surprise from the Reserve Bank of New Zealand, there was little public communication from Bank's officials on the rationale behind the decision, analysts at TD Securities explained. ´´Chief Economist Conway will speak at the universities with comments on monetary policy. Markets will watch Conway's comments on inflation and the Board's reaction function for the May policy decision, especially after the first quarter CPI downside miss.´´

NZD/USD daily charts

As per the prior analysis, NZD/USD Price Analysis: Bears about to reengage for another push to fresh lows, NZD/USD has indeed pushed lower.

(Prior analysis above, update below)

NZD/USD H4 charts

We have seen a firm move lower and the lower time frames can offer clues as to whether this has momentum.

NZD/USD is on the front side of the micro-bear trend and a pullback into the Fibonacci scale aligns with a test of the bearish resistance between 0.6150 and the 0.6170s.