NZD/USD is the best-performing currency in the G10, despite domestic fears of the coronavirus subsiding.
The positive Momentum line supports the recovery from the critical SMA.
Multiple resistance lines are used to test bulls, and a 23.6 percent Fibonacci retracement is added to the downside filters.
Early Tuesday, prices for the New Zealand dollar rise to 0.7050, up 0.26 percent intraday. As a result, the Kiwi pair not only consolidates the previous day’s losses, but also becomes the important currency pair with the largest gains.
The move by the New Zealand government to reduce the virus-related alert levels in Wellington from Level 02 to 01 provides the essential fuel for recent buying.
The pair’s U-turn from the 50-SMA and firmer Momentum line favors NZD/USD buyers on the technical side.
However, the pair’s short-term recovery moves are guarded by a downward sloping trend line from June 01 between 0.7080 and the 0.7100 threshold.
Then, near 0.7160, a one-month-old declining trend line and the 61.8 percent Fibonacci retracement of the May-June drop, close to 0.7170, will be important resistances to watch.
Meanwhile, intraday sellers will be tested if the 50-SMA level near 0.7020 is broken to the downside, as will the 23.6 percent Fibonacci retracement level near 0.7015 and the 0.7000 round figure.
If the NZD/USD remains below 0.7000, the possibility of seeing the monthly low of 0.69123 return to the chart cannot be ruled out.

Recovery is predicted to continue.
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