- NZD/JPY has breached 38.2% Fib retrace of 75.626 to 83.910 rally at 80.75, bias lower.
- NZD/JPY has retraced from fresh 8-week lows at 80.22, bias still lower.
- Kiwi under pressure on mixed China data, the pair has breached 38.2% Fib retrace of 75.626 to 83.910 rally at 80.75.
- Rising risk-off moods amid fresh geopolitical tensions between the US and North Korea keep higher-yielding currencies like NZD under pressure.
- Bears now target 200-DMA at 79.95. Violation there could see further downside upto cloud base at 79.47.
- On the flipside, bearish invalidation only on close above 5-DMA at 81.33.
Support levels - 80.22 (Session lows), 79.95 (200-DMA), 79.47 (cloud base), 78.79 (61.8% Fib retrace of 75.626 to 83.910 rally)
Resistance levels - 80.75 (38.2% Fib), 81 (cloud top), 81.33 (5-DMA)
Call update: Our previous call (http://www.econotimes.com/FxWirePro-NZD-JPY-closes-below-weekly-200-SMA-bias-lower-stay-short-839771) has hit all targets.
Recommendation: Book partial profits at lows. Lower trailing stop to 81.35, hold for 79.95.
FxWirePro Currency Strength Index: FxWirePro's Hourly NZD Spot Index was at -123.741 (Bearish), while Hourly JPY Spot Index was at 26.7617 (Neutral) at 0530 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
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