FxWirePro: NZD/CAD hovers around 110-EMA, good to go short on break below

NZD/CAD chart on Trading View used for analysis

• NZD/CAD edges higher from fresh weekly lows at 0.8908, bias remains bearish.
   
• The pair hovers around 110-EMA, close below will see further weakness.
   
• Upside lacks traction, trades 0.08% lower on the day at 0.8934 at 1000 GMT.
   
• Technical indicators are bearishly aligned in the near-term. Scope for further weakness.
   
• Price action remains capped below 5-DMA and is on track to test 200-DMA at 0.8880.
   
• On the weekly charts the pair is edging lower from upper Bollinger Band. Is holding support at 0.8932 (21W EMA).
   
• Break below 0.8930 to see test of 200-DMA. Violation there to see further weakness. 
   
• While on the flipside, immediate resistance is seen at 5-DMA at 0.90. Break above 20-DMA to see further upside.

Support levels - 0.8923 (110-EMA), 0.8880 (200-DMA), 0.8789 (cloud base)

Resistance levels - 0.8975 (5-DMA), 0.8986 (55-EMA), 0.9065 0.9035 (23.6% Fib) 

Recommendation: Good to stay short below 110-EMA, SL: 0.90, TP: 0.8880/ 0.88 

For details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.