FxWirePro: NZD/USD extends 5-day winning streak, cloud breakout reinforces further gains

NZD/USD chart - Trading View 

NZD/USD was trading 0.29% higher on the day at 0.6680 at around 05:25 GMT, bias bullish.

The pair is extending 5-day winning streak as the kiwi tracks the Aussie higher. Vaccine hope continues to support commodity currencies.

That said, escalating US-China tensions cap upside. Chinese embassy harshly talked down the US force closure of Houston-based consulate office.

Technical bias is strongly bullish. Analysis of GMMA indicator shows major and minor are bullish.

Price action has broken above weekly cloud bolstering bulls in the pair. Next major bull target lies at 200W MA at 0.6803.

21-EMA is strong support at 0.6549. Break below to see some weakness. Bullish invalidation only below 200-DMA.

Major Support Levels: 

S1: 0.6623 (5-DMA)

S2: 0.6549 (21-EMA)

S3: 0.6421 (55-EMA)

Major Resistance Levels: 

R1: 0.6755 (Dec 2019 high)

R2: 0.6803 (200W MA)

R3: 0.69 (Psychological mark)

Summary: Rising volatility and bullish techs are likely to carry upside momentum in the pair. Scope for test of 200W MA. Weakness if any on account of overbought oscillators is likely to be shallow. Bullish invalidation only below 200-DMA.