FxWirePro: NZD/USD eyes double bottom at 0.6680, escalating U.S.-China trade tensions keep antipodeans depressed

NZD/USD chart - Trading View 

• NZD/USD extends gap-down open in the Asian session, trades 0.39% lower at 0.6617 at 0440 GMT.
   
• The pair trades with a bearish bias and is on track to test double bottom at 0.6580.
   
• Antipodeans depressed amid risk-off on renewed US-China trade woes and news of fresh US sanctions on Iran and N. Korea.
   
• Trump has threatened to slap a 25% tariff on a mind-boggling USD525 billion of Chinese goods by this Friday. 
   
• In response, China's Vice Premier Liu He has canceled his trip to Washington, reviving fears of a full-blown trade war.
   
• Price action capped below 5-DMA, bias lower and volatility is rising. Scope for test of 0.6553 (76.4% Fib) on breach at 0.6580 support.
   
• Immediate resistance is seen at 5-DMA at 0.6633. Break above targets 20-DMA at 0.6683.

Support levels - 0.6580 (double bottom), 0.6553 (76.4% Fib), 0.65

Resistance levels - 0.6633 ( converged 5-DMA and 61.8% Fib), 0.6683 (20-DMA), 0.67

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