Overview: NZD/USD is trading in higher range. The rate is undermined by Kiwi sales on weak NZD/JPY cross amid increased risk aversion; fears over China’s economic slowdown; Reserve Bank Of New Zealand’s stance against stronger Kiwi and threat of smoothing intervention. But NZD/USD losses are tempered by negative USD sentiment; firmer commodity prices; rise in New Zealand Westpac McDermott Miller Consumer Confidence Index to 116.6 in second quarter, its highest level since June 2010, from 110.8 March reading. Daily chart is still positive-biased as MACD and stochastics are in bullish mode.
Trading recommendations: The pair is trading above its pivot point. It is likely to trade in higher range as far as it remains above its pivot point. As far as the price is above its pivot point, trading in higher range is most favorable and buy position is recommended above its pivot with the first target at 0.812 and the second target at 0.8155. You should keep in view short position below the pivot keep of the first target at 0.7995, breach of this target will move the pair downward further and expect the second target at 0.7925. The pivot point stands at 0.8035.
Overview:
NZD/USD is trading in higher range. The rate is undermined by Kiwi sales on weak NZD/JPY cross amid increased risk aversion; fears over China’s economic slowdown; Reserve Bank Of New Zealand’s stance against stronger Kiwi and threat of smoothing intervention. But NZD/USD losses are tempered by negative USD sentiment; firmer commodity prices; rise in New Zealand Westpac McDermott Miller Consumer Confidence Index to 116.6 in second quarter, its highest level since June 2010, from 110.8 March reading. Daily chart is still positive-biased as MACD and stochastics are in bullish mode.
Trading recommendations:
The pair is trading above its pivot point. It is likely to trade in higher range as far as it remains above its pivot point. As far as the price is above its pivot point, trading in higher range is most favorable and buy position is recommended above its pivot with the first target at 0.812 and the second target at 0.8155. You should keep in view short position below the pivot keep of the first target at 0.7995, breach of this target will move the pair downward further and expect the second target at 0.7925. The pivot point stands at 0.8035.
Resistance levels:
R1 – 0.812
R2 – 0.8155
R3 – 0.82
Support levels:
S1 – 0.7995
S2 – 0.7925
S3 – 0.79
The material has been provided by InstaForex Company – www.instaforex.com
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