NZD/USD Price Forecast: Falls toward descending channel's lower boundary near 0.5900

• NZD/USD may approach the lower boundary of the descending channel pattern near 0.5900.
• An upward correction would be indicated if the 14-day RSI breaks below the 30 mark.
• The nine-day EMA at 0.5979 level may act as the immediate resistance.

The NZD/USD pair loses ground to near 0.5930 during Wednesday's early European session. Daily chart analysis indicates a bearish bias, with the pair positioning within a descending channel.

However, the 14-day Relative Strength Index (RSI), a key momentum indicator, approaches the 30 level. A break below the 30 mark would indicate an oversold situation for the NZD/USD pair and an upward correction in the near future.

Adding to this outlook, the nine-day Exponential Moving Average (EMA) remains below the 14-day EMA, suggesting a weakness in the trend for the NZD/USD pair.

On the downside, NZD/USD may find its support around the lower boundary of the descending channel near 0.5910, followed by the psychological level of 0.5900 level.

A break below the latter could put downward pressure on the NZD/USD pair to navigate the region around the throwback support at the 0.5850 level.

On the resistance side, the NZD/USD may test the nine-day EMA at 0.5977 level, followed by the upper boundary of the descending channel near the 14-day EMA at 0.5999 level.

A breakthrough above the descending channel pattern would cause the emergence of the bullish bias and support the NZD/USD pair to explore the region around the psychological level of 0.6100.

NZD/USD: Daily Chart