- NZD/USD trades in narrow range after bullish gap up open, intraday bias higher.
- The pair is extending grind higher along 5-DMA support at 0.7010, we see weakness only on break below.
- Technical studies on weekly charts are turning bullish, Stochs have rolled over from oversold levels.
- Momentum studies on daily charts are bullish. ADX and MACD support upside.
- We see scope for test of 100-DMA at 0.7075. Breakout at 100-DMA could see further upside.
- On the flipside, weakness likely on break below 5-DMA at 0.7010, test of 20-DMA at 0.6933 then likely.
Support levels - 0.7010 (5-DMA), 0.6963 (23.6% Fib retrace of 0.7558 to 0.6780 fall), 0.6933 (20-DMA)
Resistance levels - 0.7059 (100W SMA), 0.7075 (100-DMA), 0.71
Recommendation: Stay long on dips, target 0.7075, place stops at 0.6980.
FxWirePro Currency Strength Index: FxWirePro's Hourly NZD Spot Index was at -11.5873 (Neutral), while Hourly USD Spot Index was at -39.0801 (Neutral) at 0800 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
FxWirePro launches Absolute Return Managed Program. For more details, visit http://www.fxwirepro.com/invest
