NZD/USD: the pair is in correction
Current trend
Today New Zealand dollar is growing against the US dollar within the correction, regaining insignificant at of the loss after great fall since November, 9, due to the technical reasons, as there is lack of macroeconomics issues today.
Investors paid their attention only to New Zealand Food Price Index, but it didn’t affect the trading session significantly. The index fell by 1.1% MoM in October against the fall by 0.2% MoM in the previous month. New Zealand economy is sensitive to Food Price fluctuations, as agricultural and food products are the main part of export.
Support and resistance
On the daily chart Bollinger Bands are insignificantly falling. The price range is widening, but the instrument is still outside it. Current readings reflect the correctional growth development possibility in the short term.
MACD keeps steady downward trend with the sell signal (the histogram is below the signal line). It’s better to keep current short positions, but not to open new ones.
Stochastic reached the level of 20 and reversed into flat. It reflects that the instrument is oversold in the short term and the correctional growth is possible.
Resistance levels: 0.6816, 0.6843, 0.6873, 0.6917.
Support levels: 0.6779, 0.6746, 0.6715.
Trading tips
Long positions can be opened after the reversal around current levels and breakout of the level of 0.6816 with the targets at 0.6917–0.6950. Stop loss is 0.6760. Implementation period: 2-3 days.
The steady breakdown of the level of 0.6779 is the signal to open short positions in the short term with the target at 0.6700. Stop loss is 0.6843. Implementation period: 2-3 days.
Today New Zealand dollar is growing against the US dollar within the correction, regaining insignificant at of the loss after great fall since November, 9, due to the technical reasons, as there is lack of macroeconomics issues today.
Investors paid their attention only to New Zealand Food Price Index, but it didn’t affect the trading session significantly. The index fell by 1.1% MoM in October against the fall by 0.2% MoM in the previous month. New Zealand economy is sensitive to Food Price fluctuations, as agricultural and food products are the main part of export.
Support and resistance
On the daily chart Bollinger Bands are insignificantly falling. The price range is widening, but the instrument is still outside it. Current readings reflect the correctional growth development possibility in the short term.
MACD keeps steady downward trend with the sell signal (the histogram is below the signal line). It’s better to keep current short positions, but not to open new ones.
Stochastic reached the level of 20 and reversed into flat. It reflects that the instrument is oversold in the short term and the correctional growth is possible.
Resistance levels: 0.6816, 0.6843, 0.6873, 0.6917.
Support levels: 0.6779, 0.6746, 0.6715.
Trading tips
Long positions can be opened after the reversal around current levels and breakout of the level of 0.6816 with the targets at 0.6917–0.6950. Stop loss is 0.6760. Implementation period: 2-3 days.
The steady breakdown of the level of 0.6779 is the signal to open short positions in the short term with the target at 0.6700. Stop loss is 0.6843. Implementation period: 2-3 days.