NZD/JPY slumps into a fresh monthly low, slips below 76.00

• Kiwi drops into a new monthly low against the Yen as confidence continues to crumble.
• Government budget release on Thursday will be on traders' radar as bulls remain sidelined.

The NZD/JPY continues to decline into fresh lows, and the pair is trading near 75.85 in the early Tokyo market.

The Kiwi continues to waffle against the Yen as a dovish Reserve Bank of New Zealand (RBNZ) hammers the New Zealand currency. The RBNZ is set to remain frozen on rates for the foreseeable future, and the NZD continues to weaken across the board as the NZ economy continues to lag far behind expectations.

Global Dairy Trade auction results will be hitting the NZD sometime during the upcoming London session for Tuesday, but little is scheduled for this week outside of the New Zealand government's budget release, which hits on Thursday.

NZD/JPY levels to watch

The pair has put in a steady decline from April's peak, and the current action could get bounced back from support from a support zone between 76.15 and 75.50, which buoyed prices in March and April, though bearish pressure does remain high with decline swing highs setting the pace for 2018. A bullish correction from here will face resistance at the 50.0 Fibo level near 77.70, but a downturned 200-day SMA from 78.75 could continue to cap gains.