NZD/JPY chart on Trading View used for analysis
- NZD/JPY extends weakness for the 5th straight week, bias remains bearish.
- The pair trades 0.59% lower on the day at 73.10 at 1140 GMT.
- Technical studies are highly bearish, bears eye major trendline support at 72.50.
- Breach there will see major downside. Scope for dip till 72.25.
- We see some bullish divergence on Stochastics on intraday charts which raises scope for upside.
- 5-DMA is immediate resistance at 73.96. Decisive break above could see grind till 200-DMA at 75.65.
Support levels - 73, 72.50 (trendline), 72
Resistance levels - 73.96 (5-DMA), 74.87 (20W SMA), 75.65 (200W SMA)
Recommendation: Good to stay short on upticks, SL: 74, TP: 73/ 72.50
