FxWirePro: NZD/USD finds strong support at 200-DMA, break below to confirm further weakness

NZD/USD chart - Trading View 

• NZD/USD on track to close in the red for the 3rd straight session.
   
• The pair is trading at 0.6774 at 1700 GMT, down 0.30% at the time of writing.
   
• U.S. private sector employment growth was lower-than-expected, although January’s number was revised sharply higher. The trade deficit in December came in above expectations.
   
• Price action has slipped below 110-EMA and we see scope for further weakness.
   
• 200-DMA is major support at 0.6748, break below will accentuate downside.
   
• Technical studies support weakness. RSI is below 50 and biased lower. Stochs are sharply lower.
   
• Upside capped at 0.68 handle, break above could see upside till 21-EMA at 0.6818.

Support levels - 0.6748 (200-DMA), 0.67 (trendline)

Resistance levels - 0.6798 (5-DMA), 0.6814 (20-DMA)

Recommendation: Watch out for break below 200-DMA to go short.

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