Technical analysis of NZD/USD for April 16, 2014

Forecast in the short term:

• Due to the previous events, the price of NZD/USD pair is still between the levels of 0.8579 and 0.8615.
• The resistance will be formed at the level of 0.8700 providing a clear signal for sell deals with the target seen at 0.8579 in order to to test the double bottom.
• Stop-loss is to be placed above 0.8725.
• The support will be formed at the level of 0.8600 providing a clear signal for buy deals with the target seen at the 0.8682 level. It should be noted that the level of 0.8682 is coinciding with the ratio of 61.8% at 0.8682.
• Stop-loss is to be placed below 0.8555.

Notes:

• The weekly pivot point will set at the price of 0.8620.
• We expect a range of 80 pips. Hence, the risk of 80 pips must make a profit of 120 pips.
• The key level has set at the price of 0.8580 today.

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