- Renewed weakness in NZ dairy prices overnight (GDT-TWI down 2.9%) kept the Kiwi weak. NZD/JPY tested lows of 74.43.
- Our previous call (http://www.econotimes.com/FxWirePro-NZD-JPY-sees-strong-support-at-7535-weakness-only-on-breaks-below-178458) has achieved targets.
- Yen weakness across the board is keeping the pair from extending downside, NZD/JPY has pared losses and is currently trading at 74.88.
- On the 2 hourly charts, the pair is seen holding minor support at 74.43, weakness could resume on break below.
- Momentum has turned positive, RSI and Stocha have rolled over from oversold territory and MACD line is on the verge of a bullish crossover on signal line.
- Immediate support and resistance are aligned at 74.45 (trendline) and 75.50 (Jan 20th highs) respectively.
Recommendation: Good to buy dips around 74.75/80, SL: 74.40, TP: 75.15/75.45
