EUR/NZD: analysis for January 17, 2014

Overview:

Since our last analysis, the EUR/NZD pair has been trading
upwards, as we expected, the price tested the level of 1.6463 on high volume.
As you can see in the chart, our FR 61.8 % at 1.6270 held successfully and the
price started upward movement from that point. We can observe that strong
demand on high volume had entered the market at 1.6405, so selling at this
stage looks risky. The price reached our second upper station at 1.6400 (FE 100
%). Since the price had break 1.6400 on high volume, we may see testing of FE 161.8
% at 1.6480. Do not forget EUR/NZD is in short-mid term bullish trend and
selling EUR/NZD at this stagelooks very risky, so watch for buying
opportunities and try to catch bullish continuation phase.

Daily pivot Fibonaccipoints:

Resistance levels:

R1: 1.6387

R2: 1.6421

R3: 1.6476

Support levels:

S1: 1.6277

S2: 1.6243

S3: 1.6188

Trading
recommendation: Be careful with selling the EUR/NZD pair, watch for buying
opportunities and try to catch bullish continuation phase.

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