NZD/USD Technical Analysis: Bull RSI divergence on 1H chart, focus on CNH

The NZD/USD pair beat the 200-day moving average (MA) hurdle at 0.6765 soon before press time and could rise further to 0.68 as the hourly chart is reporting a bearish-to-bullish trend change. 

At press time, most currencies are reporting gains against the greenback, possibly tracking the strength in yuan. The USD/CNH pair (offshore yuan exchange rate) is currently trading 0.13 percent lower on the day at 6.7737, having clocked a low of 6.7646 earlier today. 

NZD/USD hourly chart

The bullish relative strength index (RSI) divergence and the channel breakout seen in the above chart has likely set the tone for a test of supply around 0.67. 

The bull breakout, however, could be short-lived if USD/CNH picks up a bid and jumps past the session high of 6.7843. 

Trend: cautiously bullish