NZD/USD: the NZD is pressed by the lowering of the commodity pri
Current trend
On Thursday the pair was lowering and tested the level of 0.6850, which is has been trying to break for the second week, again. The NZD weakened due to the general lowering of the world commodity prices: the CRB index reached the minimum from the last August level around 177.0 on Thursday, as it has been lowering in general from January. Today the pair was corrected to the middle line of Bollinger Bands around 0.6900, but soon will again began to lower to the key support level of 0.6850 due to the April USA employment market data today. The Nonfarm Payroll index is expected to be 194K, which is significantly higher that the March level of 98K.
Support and resistance
Technically the price stopped at the middle line of Bollinger Bands around 0.6900. The anticipation of the strong US releases and Stochastic readings, which reached the overbought area, can let the price to reverse and lower to the level of 0.6850 and further to 0.6760. If the data are disappointing, the price after the breakout of 0.6900 can grow to the upper border of Bollinger Bands at 0.6960 and Fibonacci corrections 61.8% at the level of 0.6980.
Support levels: 0.6850, 0.6760 and 0.6700.
Resistance levels: 0.6900, 0.6960 and 0.6980.
Trading scenario
Open short positions at the current price with the target at 0.6850, 0.6760 and atop loss around 0.6920. If the price is set above the level of 0.6900, open long positions with the target at 0.6960, 0.6980 and stop loss at 0.6880.
On Thursday the pair was lowering and tested the level of 0.6850, which is has been trying to break for the second week, again. The NZD weakened due to the general lowering of the world commodity prices: the CRB index reached the minimum from the last August level around 177.0 on Thursday, as it has been lowering in general from January. Today the pair was corrected to the middle line of Bollinger Bands around 0.6900, but soon will again began to lower to the key support level of 0.6850 due to the April USA employment market data today. The Nonfarm Payroll index is expected to be 194K, which is significantly higher that the March level of 98K.
Support and resistance
Technically the price stopped at the middle line of Bollinger Bands around 0.6900. The anticipation of the strong US releases and Stochastic readings, which reached the overbought area, can let the price to reverse and lower to the level of 0.6850 and further to 0.6760. If the data are disappointing, the price after the breakout of 0.6900 can grow to the upper border of Bollinger Bands at 0.6960 and Fibonacci corrections 61.8% at the level of 0.6980.
Support levels: 0.6850, 0.6760 and 0.6700.
Resistance levels: 0.6900, 0.6960 and 0.6980.
Trading scenario
Open short positions at the current price with the target at 0.6850, 0.6760 and atop loss around 0.6920. If the price is set above the level of 0.6900, open long positions with the target at 0.6960, 0.6980 and stop loss at 0.6880.