• NZD/USD remains depressed around monthly low, 50% Fibonacci retracement of May-August fall.
• Bearish MACD, failures to cross 50-day EMA keep sellers hopeful.

NZD/USD takes offers around 0.7060, after testing the lowest levels since October 18 during early Thursday. The kiwi pair dropped the most in a week to decline to the three-week low the previous day.

The US inflation data-led downside also gains support from the sustained trading below 50-day EMA and the bearish MACD signals.

Hence, the 200-day EMA level of 0.7035 remains on the table while the 0.7000 threshold may challenge the NZD/USD bears afterward. It’s worth noting that the early October peak close to 0.6985 adds to the downside filters.

On the flip side, buyers need a daily closing past 50-day EMA level of 0.7075 to aim for the 61.8% Fibonacci retracement (Fibo.) level of 0.7120.

It’s worth noting that the NZD/USD upside beyond 0.7120 will be challenged by the tops marked in September and October, respectively near 0.7170 and 0.7220.

Overall, NZD/USD remains on the bearish consolidation mode before visiting multiple supports around 0.6930.

NZD/USD: Daily chart

Trend: Further downside expected