- NZD/USD closed above 20-DMA on Wednesday's trade, intraday bias higher.
- Upside in the pair pauses at 23.6% Fibo at of 0.7375 to 0.6817 fall at 0.6950.
- Break above will see further upside. Next bull target is 50-DMA at 0.6962.
- Bullish divergence from price action seen on RSI and Stochs which keeps scope for upside.
- We see Weakness only on break below 5-DMA support at 0.6897.
Support levels - 0.6910 (20-DMA), 0.69, 0.6898 (5-DMA), 0.6817 (May 11 low)
Resistance levels - 0.6950 (trendline & 23.6% Fib of 0.7375 to 0.6817 fall), 0.6962 (50-DMA), 0.6980 (Dec 30 high)
Call update: Our previous call (http://www.econotimes.com/FxWirePro-NZD-USD-hovers-around-20-DMA-at-06913-bias-higher-good-to-go-long-on-break-above-706556) has hit TP1.
Recommendation: Book partial profits at highs. Raise trailing stop to 0.69, hold for upside.
FxWirePro Currency Strength Index: FxWirePro's Hourly NZD Spot Index was at -48.8281 (Neutral), while Hourly USD Spot Index was at -78.9505 (Bearish) at 1030 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
