Technical analysis of NZD/USD for January 08, 2014
January 8, 2014 12:30 pm
Overview:
NZD/USD is expected to be in range-trade. The rate is supported by Kiwi demand on NZD/JPY cross amid reduced risk aversion; Kiwi demand on soft AUD/NZD cross. But NZD/USD upside is limited by improved dollar sentiment; concerns over weak China economic outlook. Daily chart is still positive-biased as MACD and stochastics are bullish, although latter is at overbought; five-day moving average is above 15-day MA and advancing.
Trading recommendation:
The pair is trading above its pivot point. It is likely to trade in a higher range as far as it remains above its pivot point. As far as the price is above its pivot point, a long position is recommended with the first target at 0.832 and the second target at 0.8345 in mind. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 0.8195. The breach of this target will move the pair further downwards and one may expect the second target at 0.817. The pivot point stands at 0.824.
Resistance levels:
0.832
0.8345
0.836
Support levels:
0.8195
0.817
0.8135
The material has been provided by InstaForex Company – www.instaforex.com
Overview:
NZD/USD is expected to be in range-trade. The rate is supported by Kiwi demand on NZD/JPY cross amid reduced risk aversion; Kiwi demand on soft AUD/NZD cross. But NZD/USD upside is limited by improved dollar sentiment; concerns over weak China economic outlook. Daily chart is still positive-biased as MACD and stochastics are bullish, although latter is at overbought; five-day moving average is above 15-day MA and advancing.
Trading recommendation:
The pair is trading above its pivot point. It is likely to trade in a higher range as far as it remains above its pivot point. As far as the price is above its pivot point, a long position is recommended with the first target at 0.832 and the second target at 0.8345 in mind. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 0.8195. The breach of this target will move the pair further downwards and one may expect the second target at 0.817. The pivot point stands at 0.824.
Resistance levels:
0.832
0.8345
0.836
Support levels:
0.8195
0.817
0.8135
The material has been provided by InstaForex Company – www.instaforex.com
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