NZD/JPY on track to test weekly 200-SMA at 82.20, stay long
NZD/JPY has breached 50-DMA resistance at 80.80, bias bullish.
The pair closed above weekly 20-SMA in the previous week's trade.
We see scope for test of weekly 200-SMA at 82.20. Technical studies on weekly charts are bullish.
RSI is above 50 and biased higher while Stochs are showing rollover from oversold levels.
We notice bullish divergence on daily charts which keeps scope for further upside.
On the downside, 50-DMA is immediate support, break below could see drag upto 20-DMA at 79.37.
Focus on New Zealand Q2 GDP (due Sept 20), along with the GlobalDairyTrade price auction due later today for further direction.
New Zealand general election which will be held on Saturday, September 23 is another major risk event.
Support levels - 80.74 (50-DMA), 80.53 (5-DMA), 80.35 (weekly 20-SMA)
Resistance levels - 81.72 (61.8% Fib retrace of 83.91 to 78.18 fall), 82, 82.20 (weekly 200-SMA)
Good to go long on dips around 81/81.15, SL: 80.50, TP: 81.65/ 82/ 82.20.
The pair closed above weekly 20-SMA in the previous week's trade.
We see scope for test of weekly 200-SMA at 82.20. Technical studies on weekly charts are bullish.
RSI is above 50 and biased higher while Stochs are showing rollover from oversold levels.
We notice bullish divergence on daily charts which keeps scope for further upside.
On the downside, 50-DMA is immediate support, break below could see drag upto 20-DMA at 79.37.
Focus on New Zealand Q2 GDP (due Sept 20), along with the GlobalDairyTrade price auction due later today for further direction.
New Zealand general election which will be held on Saturday, September 23 is another major risk event.
Support levels - 80.74 (50-DMA), 80.53 (5-DMA), 80.35 (weekly 20-SMA)
Resistance levels - 81.72 (61.8% Fib retrace of 83.91 to 78.18 fall), 82, 82.20 (weekly 200-SMA)
Good to go long on dips around 81/81.15, SL: 80.50, TP: 81.65/ 82/ 82.20.
