The NZD/JPY pair continues to exhibit a downward trend, extending the decline that began during Tuesday’s trading session. Technical indicators currently favor the bears, suggesting that the pair may experience further losses in the near term.
The Relative Strength Index (RSI) has fallen to 36, nearing the oversold zone. Despite a significant drop of over 3% this week, there is a possibility that the pair may stabilize in the coming sessions as bearish momentum could weaken.
On the daily chart, the NZD/JPY pair shows persistent weakness. Having dropped below the 20-day Simple Moving Average (SMA) at 89.60, bearish forces appear to be in control. If the downward trend persists, critical support levels to watch are 87.50, 87.30, and 87.00.