Despite a weaker US Dollar, the Aussie struggles to regain ground. The US Dollar Index (DXY) continues to decline, trading below 97. The technical pattern in the daily chart for the US dollar index indicates bearish pressure and suggests further downside.
The US PCE inflation data came in as expected. The headline index rose 2.3% year-over-year in May, while core PCE reached 2.7%. These steady readings failed to boost USD, yet AUD/USD consolidates due to weak domestic data.
The 4-hour chart for NZD/USD shows that the pair is approaching the resistance level at 0.6090. Multiple rounding bottoms near the 0.5850 support and repeated tests of the 0.6090 level indicate strong bullish momentum. A break above 0.6090 would likely initiate a strong upward trend in the NZD/USD pair.
