NZD/USD chart on Trading View used for analysis
- NZD/USD edges higher for the 3rd straight session, recocers from multi-week lows at 0.6585.
- The antipodeans have found support in early Asia amid risk-on action seen in stocks.
- Positive news related to the US-China trade war alongside China's announcement of more stimulus measures coming from the banking sector add support.
- News flows as how the trade-talks develop along with macro data from China will influence price action.
- Price action hovers around stiff resistance at 0.6750 (nearly converged cloud top and 21-EMA).
- Technical indictaors on the daily charts are turning slightly bullish. Stcochs and RSI are biased higher.
- Decisive break above cloud will target 200-DMA at 0.6809. Further upside only on break above.
- On the flipside, retrace below 5-DMA will see resumption of weakness. Dips till cloud base likely.
Support levels - 0.6707 (5-DMA), 0.6663 (23.6% Fib), 0.6585 (Jan 3 low)
Resistance levels - 0.6750 (nearly converged cloud top and 21-EMA), 0.6809 (200-DMA)
Recommendation: Watch out for break above 0.6750 to go long, target 0.68/ 0.6870
