- NZD/CHF is consolidating bounce off major trendline support, holds break above 20-DMA at 0.6898.
- Kiwi is extending stellar quarterly NZ employment report led gains, while a big beat on the Chinese services PMI data for October also lends support to the antipodeans.
- Technical studies support upside in the pair. RSI and Stochs are biased higher.
- MACD is showing a bullish crossover on signal line and bullish divergence on RSI keeps scope for upside.
- Price action currently struggling to break 50-DMA resistance at 0.6938. Break there finds next bull target at 0.7004 (200-DMA).
- On the flipside, we see weakness in the pair closes below 20-DMA support at 0.6898.
Support levels - 0.6898 (20-DMA), 0.6882 (5-DMA), 0.6790 (trendline)
Resistance levels - 0.6938 (50-DMA), 0.70 (converged 100 & 200-DMA), 0.7020 (trendline)
Recommendation: Good to go long on break above 0.6938, SL: 0.6890, TP: 0.70/ 0.7020
FxWirePro Currency Strength Index: FxWirePro's Hourly NZD Spot Index was at 124.796 (Bullish), while Hourly CHF Spot Index was at -6.69442 (Neutral) at 0630 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
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