FxWirePro: NZD/JPY capped below 21-EMA, on track to test trendline support at 72.25, stay short

NZD/JPY chart on Trading View used for analysis

• NZD/JPY slumps 0.84% on the day to trade at 72.61 at the time of writing.
   
• Recovery attempts rejected below 21-EMA. Major trend for the pair is bearish. 
   
• Risk-off flows are punishing the antipodeans across the board as traders flock into safe havens.
   
• We see stiff resistance at 21-EMA at 73.26. Any upside only on decisive break above. Bullish reversal only above 110-EMA.
   
• Technical indicators support weakness in the pair. Stochs and RSI show bearish pressures and MACD shows bearish crossover on signal line.
   
• Bears eye major support at 72.25 (trendline). We see weakness to accentuate on break below. 

Support levels - 72.25 (trendline support), 72

Resistance levels - 73.33 (5-DMA), 73.56 (21-EMA)

Call update: Our previous call (https://www.econotimes.com/FxWirePro-NZD-JPY-finds-stiff-resistance-at-7367-good-to-go-short-on-rallies-1448904) is approaching final targets.

Recommendation: Book partial profits, stay short.

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