- NZD/USD rejected at 20-DMA on Tuesday's trade, slips below 0.72 handle.
- The pair breached 50-DMA support on Tuesday and edged lower to break major trendline support which aligns at 0.72.
- Momentum studies are bearish, we see scope for test of 100-DMA at 0.7140.
- Bearish invalidation only above 20-day MA at 0.7287.
- Major support levels - 0.7155 (61.8% Fib), 0.7158 (Aug 10 low), 0.7140 (Aug 3 lows)
- Major resistance levels - 0.72 (trendline), 0.7258 (50-DMA), 0.7287 (20-DMA)
- Our previous call (http://www.econotimes.com/FxWirePro-NZD-USD-intraday-bias-lower-good-to-short-rallies-328444) has hit all targets.
Recommendation: Book partial profits, lower stops to 0.7258, target 0.7140.
Fresh shorts can be entered at rallies around 0.72/0.7210, SL: 0.7260, TP: 0.7155/ 0.7140/ 0.71
