NZD/JPY Price Analysis: Bulls add gains and indicators reach overbought conditions

• The positive outlook on the daily chart improved but bulls aren’t yet in command.
• the RSI was seen above 70 in recent hours, which may lead to a consolidation.
• To prevent any potential losses, the bulls must defend the key SMAs.

In Tuesday’s session, NZD/JPY is trading at 91.36, registering an uptick of 0.74%. Despite some signals of a consolidation incoming, the market sees dominance by buyers, which leads to a broader bullish outlook. Ahead of the Asian session, the pair may correct overbought conditions on the hourly chart and see some red.

On the daily chart, the NZD/JPY pair posts positive momentum following a shift from the negative territory. The Relative Strength Index (RSI) now sits in the positive territory at 52 while the Moving Average Convergence Divergence (MACD) red bars recede, signaling a potential decrease in negative momentum.