NZDJPY: Double Bottom Forms, but Bears Remain in Control Below Key Resistance

NZDJPY formed double bottom near 85.35 and showed a minor pullback on weak yen. As long as resistance 86.86-87 holds, the intraday trend is bearish. Having hit an intraday high of 86.74, it currently trades at roughly 86.52. Overall trend is still weak if pair trades below 89.20.

Oscillators and moving averages to forecast the trend of NZDJPY

CMP- 86.49

EMA (4-hour chart)

55-EMA- 86.68

200-EMA- 86.88

365-EMA- 86.97. The pair trades below the short and below long-term moving average.

Major support- 86.40. Any breach below will drag the pair down to 86/85.37.

Major resistance - 86.86. Any break above 86.86 confirms minor bullishness, a jump to 87.50/88.10/88.50/89.25.

Indicator (4 hour chart)

CCI (50)- bearish

Average directional movement Index- Neutral. All indicators confirm a mixed trend.

It is good to sell on rallies 86.78-80 with SL around 87.50 for TP of 85.32/85.