Current trend
After the repeated test of the support level of 0.7145 the NZD/USD pair was corrected to the area of the middle line of Bollinger Bands (0.7187), but the downward trend maintains.
Today and tomorrow there is no key macroeconomic release on New Zealand, so the pair will be affected by the US news. The traders are focused on ADP Employment Change data publication. The index is expected to fall to 125K in September from 237K in the previous month. If the index stays on the forecasted level of below it, the NZD/USD pair will be supported in the short term. Otherwise, if the index significantly exceeds the expectations, the pair will continue to fall.
Support and resistance
The restore of the downward trend is possible, as Bollinger Bands are pointed downwards, and the volumes of MACD histogram has slightly decreased in the negative area, however, the sell signal maintains.
Resistance levels: 0.7200, 0.7243, 0.7277.
Support levels: 0.7130, 0.7100, 0.7070.
Trading tips
Short positions can be opened below the level of 0.7130 with the targets at around 0.7100–0.7070 and stop loss at 0.7150.
Long positions can be opened above the level of 0.7200 with the targets at around 0.7243–0.7277 and stop loss at 0.7180.
After the repeated test of the support level of 0.7145 the NZD/USD pair was corrected to the area of the middle line of Bollinger Bands (0.7187), but the downward trend maintains.
Today and tomorrow there is no key macroeconomic release on New Zealand, so the pair will be affected by the US news. The traders are focused on ADP Employment Change data publication. The index is expected to fall to 125K in September from 237K in the previous month. If the index stays on the forecasted level of below it, the NZD/USD pair will be supported in the short term. Otherwise, if the index significantly exceeds the expectations, the pair will continue to fall.
Support and resistance
The restore of the downward trend is possible, as Bollinger Bands are pointed downwards, and the volumes of MACD histogram has slightly decreased in the negative area, however, the sell signal maintains.
Resistance levels: 0.7200, 0.7243, 0.7277.
Support levels: 0.7130, 0.7100, 0.7070.
Trading tips
Short positions can be opened below the level of 0.7130 with the targets at around 0.7100–0.7070 and stop loss at 0.7150.
Long positions can be opened above the level of 0.7200 with the targets at around 0.7243–0.7277 and stop loss at 0.7180.