NZD/USD Price Analysis: Kiwi bulls eye 0.6220 resistance confluence, focus on China PMI, FOMC Minutes

• NZD/USD stays on the front foot for the fourth consecutive day, firmer near two-week high.
• Clear upside break of two-month-old descending resistance line, upbeat oscillators favor Kiwi buyers.
• Convergence of 200-EMA, descending trend line from May 19 restricts immediate upside.

NZD/USD justifies the previous day’s upside break of a two-month-old resistance line while printing a four-day winning streak near the 0.6200 round figure. In doing so, the Kiwi pair remains mildly bid near the highest levels in a fortnight amid early Wednesday morning in Auckland.

Not only the trend line breakout but the latest bullish MACD signals and the upbeat RSI (14), not overbought, also keeps the Kiwi pair buyers hopeful.

However, a convergence of the 200-Exponential Moving Average (EMA) and a six-week-long falling trend line, close to 0.6220 at the latest, tests the NZD/USD buyers. Also acting as a short-term upside filter is the previous monthly high of 0.6250.

Above all, a downward-sloping resistance line from early February, around the 0.6300 threshold by the press time, becomes crucial for the NZD/USD bulls to cross for conviction.

On the contrary, a downside break of the previous resistance line stretched from early May, surrounding 0.6180, can recall the intraday sellers of the pair.

Following that, 10-week-old horizontal support and the yearly bottom marked in May, near 0.6110 and 0.5990 in that order, will be the key to watch for the NZD/USD bears.

NZD/USD: Daily chart

Trend: Further upside expected