FxWirePro: NZD/USD consolidates amid mixed market sentiment, potential 'Double Top' at 0.6580

NZD/USD chart - Trading View 

NZD/USD pauses bull run at 0.6580 (June 9th high). Potential 'Double Top' dents gains.

The pair was trading 0.06% lower on the day at 0.6550 at around 06:00 GMT, slipping lower from monthly high at 0.6580. 

Positive comments from New Zealand Institute of Economic Research’s (NZIER) Chief Economist to cushion downside.

Bloomberg quoted NZIER Chief Economist saying that he doesn’t expect the NZ economic contraction to be as severe.

Comments follow the body’s Quarterly Survey of Business Opinion (QSBO) which showed that the NZ Business Confidence improved to -63 in vs. -70 seen in Q1.

The pair trades with a strong bullish bias and pullbacks are likely to be shallow. Global stimulus hopes are likely to keep upside intact. 

Price action hovers around 110W EMA at 0.6538. Next bull target lies at 88.6% Fib at 0.6608.

Major and minor trend are bullish. Volatility is rising, together with strong momentum, we could see further gains.

21-EMA is strong support at 0.6450. Break below could see dip till 200-DMA. Violation at 200-DMA negates bullish bias.

Major Support - 0.6450 (21-EMA)

Major Resistance - 0.6608 (88.6% Fib)