US Dollar vs Polish Zloty trades down after strong bullish momentum meets technical resistance

Traders Union
All News
Financial News
Usd/pln slides 0.68% today

Highlights

USD/PLN maintains a strong bullish trend across all timeframes, consistently trading above key moving averages.
Despite overbought technical conditions and recent short-term pressure, buyers retain a dominant position intraday.
Expected five-day range is zł3.7544 to zł3.8054, with a high probability of sideways-to-upward movement unless zł3.7737 support fails.

Anton Kharitonov, expert at Traders Union, sees warning signs amid the pullback in USD/PLN. He notes the pair remains overbought on multiple momentum indicators despite trading above key moving averages. Intraday volatility and the recent drop of 0.68% keep downside risks in focus. Lack of supportive news flow amplifies uncertainty for bulls. "Caution is warranted here as overextension combined with negative short-term sentiment leaves the pair vulnerable to deeper corrections if support at zł3.7737 breaks."

Viktoras Karapetjanc, expert at Traders Union, believes the bullish structure in USD/PLN remains firmly in place. He highlights the alignment of moving averages and strong buyer dominance as promising signals for further appreciation. While news is currently lacking, he views the underlying uptrend as a strong opportunity. "The market offers multiple bullish setups, and I expect further growth if zł3.8054 is breached in the coming sessions."

Jainam Mehta, market strategist, sees mixed technical signals for USD/PLN. Overbought oscillators suggest limited upside, but the bullish moving average alignment cannot be ignored. He points out that a potential breakout above zł3.8054 could trigger momentum trades, while a failure at support offers a reversal setup. "This is a tactical range, and I would monitor for a break of key levels to guide short-term entries in either direction."

Bullish structure persists as overbought momentum clashes with resistance

USD/PLN is trading above its 20-day, 50-day, and 200-day moving averages (zł3.766, zł3.7024, and zł3.6401), underscoring a strong bullish structure across short-, medium-, and long-term timeframes. There is immediate resistance at zł3.8054 and support at zł3.7737, while the alignment of the 50-day above the 200-day average reinforces the medium- to long-term upward bias. Momentum indicators are mixed: the MACD, ADX, and Awesome Oscillator support buying momentum, but both the RSI and CCI flag overbought conditions, and the Stochastic RSI is at 100, also indicating an overbought state. Bull/Bear Power is positive, highlighting buyer dominance, though the pair closed down 0.68% for the day near session lows after an intraday downside gap and volatility of 1.03%.

Earlier, analysts noted that USD/PLN maintained a bullish bias, supported by strong technical structure and momentum. The latest market action reinforces this outlook, with traders advised to monitor zł3.8054 as a key resistance level that could signal renewed upside momentum if breached in the coming sessions.

Source of Data: USD Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.