Profit takers and buyers leaning against the MA level.
The price of the NZDUSD has moved to a new session low. That low reached 0.65426. The 200 hour moving average (green line in the chart below) is currently at 0.65434. Also in the area is the 38.2% retracement of the move up from the October 5 low at 0.65384. Buyers are “leaning” against the level (profit takers/new longs) as risk can be defined and limited.
The bounce is modest but if the area holds, the chance for a corrective bounce increases. A move below should be met with stops on the break.
The price moved above 200 hour moving average back on October 11. It was tested on October 15 and again on October 19 with buyers ahead of the level.