NZD/JPY Price Analysis: Uptrend capped at the 200-DMA retreats to 77.30 as bulls take a breather

The NZD/JPY advances as the North American session winds down, up some 0.25%.

The market sentiment is downbeat, as US equity indices finished in the red.

NZD/JPY upward move stalled at the 200-DMA, but NZD bulls remain in charge.

During the North American session, financial markets have been volatile. High elevated prices, reported by the US Labor department, increased the odds of the US central bank‘s 50 bps rate hike. Initially, the US Dollar Index, a gauge of the greenback’s value against its peer, shot through the roof, followed by a fall to the 95.40 area for a 0.20% loss.

However, in the last hour, the DXY rebounded, sitting at 95.60, aligned with higher US Treasury yields, led by the 10-year benchmark note at 2.052%, a gain of twelve basis points.

NZD/JPY Price Forecast. Technical outlook

Putting those factors aside, the NZD/JPY initially broke upwards, but the move stalled at the 200-day moving average (DMA) at 77.98, followed by a drop to the February 9 daily high at 77.30.

That said, the NZD/JPY first resistance would be the 200-DMA at 77.98. Breach of the latter would expose the 100-DMA at 78.36, followed by the January 5 swing high at 79.22.

On the flip side, the NZD/JPY first support is 77.30. Once cleared, the next support would be the 77.00 figure, followed by the February 9 daily low at 76.65.