FxWirePro: NZD/CHF recovery capped at 20-DMA, scope for test of 200-DMA at 0.6745

NZD/CHF chart on Trading View used for analysis

• NZD/CHF edges higher from session lows at 0.6843, trades at 0.6811 at the time of writing.
   
• The pair finds stiff resistance at 20-DMA at 0.6822. Break above could see test of 5-DMA at 0.6843.
   
• Improved risk-appetite buoying the antipodeans. But technical studies for the pair do not support bullish bias for the day.
   
• Price action has closed below 21-EMA on Friday's trade and we see scope for test of 200-DMA support.
   
• Any further downside only on decisive break below 200-DMA. On the flipside, close above 20-DMA could see upside resumption.
   
• On the data front, we do not see anything of much significance from New Zealand this week.
   
• Business NZ will be releasing their data on manufacturing this Friday. This is expected to have a medium impact on the kiwi.

Support levels - 0.6744 (200-DMA), 0.67

Resistance levels - 0.6822 (20-DMA), 0.6842 (5-DMA)

Call update: Our previous call (https://www.econotimes.com/FxWirePro-NZD-CHF-holds-20-DMA-support-break-below-to-see-further-weakness-1469443) has hit TP1.

Recommendation: Book partial profits at lows, hold for further downside.

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