NZD/USD approaches dominant support
The New Zealand Dollar against the US Dollar has favored the long term traders, as it has fallen in the last few trading sessions like a rock. Various medium term patterns have been broken, and, actually, their drawing proved to benefit only to show the short term stops of the pair.
On Wednesday the currency pair was about to fall down to the support of the weekly S2 at the 0.7179 level. The reason for that is the simple technical fact that the various supporting SMAs of the hourly chart have been left far above the pair.
On Wednesday the currency pair was about to fall down to the support of the weekly S2 at the 0.7179 level. The reason for that is the simple technical fact that the various supporting SMAs of the hourly chart have been left far above the pair.
Trade closed: target reached:
The fall of the Kiwi against the Greenback continued as expected. However, by the middle of the day’s trading the decline of the rate had stopped. The currency exchange rate stopped its decline at the most dominant patterns lower trend line, at the 0.72 mark.
In general, it can be observed that just like other pairs, which have the US Dollar on one or the other side, the NZD/USD has stopped at a critical level in the expectations of the central banker meeting in Jackson Hole.
Most likely that the pair’s future direction will be clear during the speeches. Especially, the speech of the Fed’s chairwoman Janet Yellen.
In general, it can be observed that just like other pairs, which have the US Dollar on one or the other side, the NZD/USD has stopped at a critical level in the expectations of the central banker meeting in Jackson Hole.
Most likely that the pair’s future direction will be clear during the speeches. Especially, the speech of the Fed’s chairwoman Janet Yellen.
It is most likely that until the speech of Janet Yellen in Jackson Hole at the central banker symposium the rate will continue to surge. During that surge it is highly possible that the pair will reach the resistance of the monthly S1 at the 0.7246 level.
Moreover, the monthly level of significance will be strengthened by the 100-hour simple moving average.