The New Zealand dollar is showing uncertain gains in the NZD/USD pair during the Asian session, correcting after a fairly noticeable decline the day before. 

The price is in a correction, a fall is possible.

On the daily chart, the downward wave of the highest level (C) develops, within which the correctional second wave 2 of (C) has ended, and the third wave 3 of (C) forms. Now, the first entry wave of the lowest level i of 3 has formed, and the correctional second wave ii of 3 and the wave (c) of ii are ending. If the assumption is correct, the NZD/USD pair will fall within the wave iii of 3 to the area of 0.5300–0.5000. In this scenario, the critical stop loss level is 0.6380.

Amid local sideways dynamics of the American currency and macroeconomic statistics from New Zealand, the NZD/USD pair is correcting near the 0.6044 mark during the Asian session.

This week, the NZD/USD pair reached the resistance level of 0.6040 and corrected downwards. However, the positive dynamics may continue amid concerns about the impact of US President Donald Trump’s tariffs on global trade.

The NZD/USD pair resumed its gains in the middle of last month and today reached yearly highs around 0.6054, but then corrected lower as the New Zealand currency came under pressure after the publication of weak business activity data in the Chinese manufacturing sector from Caixin.