NZDUSD: Recovery Faces Key Resistance at 0.5696

In this comprehensive analysis, Ultima Markets brings you an insightful breakdown of NZDUSD for October 23, 2026.

Technical Analysis of NZDUSD

NZDUSD Daily Chart Insight

(NZDUSD Daily Chart, Source: Ultima Markets MT5)

NZDUSD remains within a broader bearish structure despite staging a technical recovery from its recent lows near 0.5580–0.5600. The rebound has lifted prices above the red 16-period moving average (MA16), which has begun turning upward, suggesting improving short-term momentum. However, the pair continues to trade below the declining purple 50-period moving average (MA50) and blue 100-period moving average (MA100), indicating that the broader downtrend has yet to reverse.

The daily RSI has recovered to approximately 52.53, reflecting renewed buying interest without confirming a sustained bullish trend. While buyers have regained some near-term control, the 0.5755–0.5780 resistance region remains a significant obstacle. A sustained recovery toward this moving-average resistance zone would be necessary to strengthen the bullish outlook, while rejection could expose the pair to renewed selling pressure.

Key Levels:

• Support 1 (0.5670–0.5680): Immediate support around the recent recovery area, where buyers must maintain control to preserve upward momentum.
• Support 2 (0.5625–0.5635): The rising red MA16 provides dynamic support and represents an important level for the ongoing rebound.
• Support 3 (0.5580–0.5600): The recent consolidation lows form a major support zone, with a breakdown potentially reinforcing the broader bearish structure.
• Resistance 1 (0.5704–0.5710): The immediate resistance area near the latest recovery highs, where selling pressure could re-emerge.
• Resistance 2 (0.5755–0.5760): The declining purple MA50 represents a significant medium-term resistance barrier.
• Resistance 3 (0.5780–0.5800): The blue MA100 and surrounding historical price structure form a higher resistance region that buyers must overcome to establish a stronger bullish reversal.

NZDUSD 2-Hour Chart Analysis

(NZDUSD 2-Hour Chart, Source: Ultima Markets MT5)

NZDUSD maintains a cautiously bullish short-term structure following its strong recovery from the mid-October lows. The red 16-period moving average (MA16) remains above the rising purple 50-period moving average (MA50) and blue 100-period moving average (MA100), preserving a positive moving-average alignment. However, after reaching approximately 0.5707, the pair experienced a pullback toward the purple MA50 before recovering to trade around the flattening red MA16 near 0.5687. This suggests that bullish momentum has moderated, with prices entering a consolidation phase rather than extending the previous advance.

RSI reading of 52.75 supports a mildly positive but relatively balanced momentum outlook. Although buyers retain a structural advantage above the rising medium- and long-term averages, a decisive break above recent resistance is needed to confirm further upside.

Breakout Scenarios:

• Bullish continuation is a possible scenario, triggered by a decisive break and hold above 0.5696. This could allow NZDUSD to retest the recent swing high near 0.5707, with sustained buying pressure needed to extend the recovery.
• Bearish correction is a possible scenario, triggered by a failure to maintain support around 0.5672 and the purple MA50. A confirmed breakdown could expose the rising blue MA100 near 0.5650, signalling a deeper retracement of the recent bullish advance.

NZDUSD Pivot Indicator

(NZDUSD 30-Minute Chart, Source: Trading Central)

The Trading Central 30-minute chart shows NZDUSD trading around 0.5684, below the key pivot resistance at 0.5696, maintaining a bearish intraday preference. Although prices have recovered from their recent decline, the pair remains capped beneath the pivot and the 50-period moving average displayed on the chart. The RSI stands at 51.58, reflecting relatively balanced momentum with a slight positive inclination.

Meanwhile, the MACD lines have recovered toward the zero line and are beginning to flatten, suggesting that previous bearish momentum has weakened without establishing a convincing bullish reversal. As long as NZDUSD remains below 0.5696, the immediate outlook favours a potential retest of lower support levels despite the ongoing consolidation.

• Bearish Breakdown: Continued trading below the 0.5696 pivot would maintain the bearish preference, with downside targets at 0.5663 and 0.5654. A renewed decline in the RSI from 51.58, accompanied by the MACD turning lower and moving further into negative territory, would strengthen the bearish scenario.
• Bullish Reversal: A decisive breakout and sustained move above 0.5696 would invalidate the immediate bearish preference, opening the way toward 0.5710 and subsequently 0.5718. Confirmation would require the RSI to strengthen from its current reading of 51.58, alongside a bullish MACD crossover and improving momentum above the zero line.

Disclaimer Comments, news, research, analysis, price, and all information contained in the article only serve as general information for readers and do not suggest any advice. Ultima Markets has taken reasonable measures to provide up-to-date information, but cannot guarantee accuracy, and may modify without notice. Ultima Markets will not be responsible for any loss incurred due to the application of the information provided.