Technical analysis of NZD/USD for May 19, 2017

Overview:

• The NZD/USD pair is still moving upwards from the area of 0.6876. Additionally, the first resistance level is seen at 0.6971 followed by 0.7014, while daily support 1 is found at 0.6876. According to the previous events, the NZD/USD pair is still moving between the levels of 0.6876 and 0.6971. As the price is still above the moving average (100), the immediate support is seen at 0.6876, which coincides with a golden ratio (23.6% of Fibonacci retrecement). Consequently, the first support is set at the level of 0.6876. So, the market is likely to show signs of a bullish trend around the spot of 0.6876. In other words, buy orders are recommended above the golden ratio (0.6876) with the first target at the level of 0.6942. Furthermore, if the pair manages to break through the first resistance level of 0.6942, we should see the pair climbing towards the double top (0.6971). However, it would also be wise to consider where to place a stop loss; this should be set below the double bottom of 0.6817.

The material has been provided by InstaForex Company – www.instaforex.com
Source: Instaforex.com