• NZD/USD has been trading a rising wedge pattern, currently at around 0.6690 levels.
  
  
• We see upside in the pair being capped by daily cloud which currently spans between 0.6737 and 0.6656.
  
  
• Price action in the pair was rejected by cloud top and has edged below 200-DMA at 0.6713.
  
  
• Momentum as indicated by the MACD is definitely with the bulls, but a bearish Stochs crossover at overbought and downward pointing RSI imply some immediate downside.
  
  
• Breaks below 5-DMA (0.6626) could take the pair to 0.6428 and then 0.6390 (rising trendline) support.
  
  
• On the upside breaks above cloud top could take the pair to 0.6880 and then 0.69.
  
  
• Data earlier this week showed GTD price index fell further this month. The economic knock-on to the dairy sector and broader economy will keep pressure on RBNZ to support the economy. 
  
  
• Market focus is likely to remain on the US NFP data due later today, we expect the most likely scenario to be another leg lower for the greenback.
  
  

Recommendation: Good to go long on breaks above 0.6740, SL: 0.6620, TP: 0.6880/0.69