FxWirePro: NZD/USD hits 4-month highs at 0.7174, bias higher, stay long

• NZD/USD extends break above 200-DMA and upside remains intact as long as pair holds above.
   
• The pair hit 4-month highs at 0.7174, bulls target 0.72 levels.
   
• Below 200-DMA, the major finds strong support at 100-DMA at 0.7057. We see major weakness only on break below.
   
• U.S. factory orders data and ISM nonmanufacturing PMI, continues to dampen possibilities of a faster Fed rate-tightening cycle.
   
• Focus on the outcome of latest dairy auction - GDT price index, for some fresh bullish impetus.

Support levels - 0.7151 (50% Fibo 0.74854 to 0.68176 fall), 0.7119 (5-DMA), 0.7072 (38.2% Fib of 0.74854 to 0.68176 fall), 0.7002 (20-DMA)

Resistance levels - 0.7186 (Oct 26 high), 0.72, 0.7230 (61.8% Fib)

Call update: Our previous call (http://www.econotimes.com/FxWirePro-NZD-USD-rejected-at-highs-break-below-200-DMA-at-07104-could-see-weakness-741384) has hit TP1.

Recommendation: Bias higher, stay long.

FxWirePro Currency Strength Index: FxWirePro's Hourly NZD Spot Index was at 91.5837 (Bullish), while Hourly USD Spot Index was at -92.7572 (Bearish) at 0700 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.