NZD/USD is expected to range trade.It is supported by the Kiwi demand on NZD/JPY cross amid positive investor risk appetite, soft USD sentiment, hawkish Reserve Bank of New Zealand’s monetary policy stance, NZD-USD interest differential and spillover from Aussie strength. But NZD/USD gains are tempered by the Kiwi sales on buoyant AUD/NZD cross and profit-taking on long-NZD positions as caution sets in ahead of U.S. non-farm payrolls report on Thursday. Daily chart is still positive-biased as MACD is bullish, stochastics stays elevated at overbought zone, five- and 15-day moving averages are 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 0.88 and the second target at 0.8835. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 0.87. A breach of this target would push the pair further downwards and one may expect the second target at 0.8680. The pivot point is at 0.8740.
Resistance levels:
0.8800
0.8835
0.8860
Support levels:
0.87
0.8680
0.8655
The material has been provided by InstaForex Company – www.instaforex.com
Overview:
NZD/USD is expected to range trade.It is supported by the Kiwi demand on NZD/JPY cross amid positive investor risk appetite, soft USD sentiment, hawkish Reserve Bank of New Zealand’s monetary policy stance, NZD-USD interest differential and spillover from Aussie strength. But NZD/USD gains are tempered by the Kiwi sales on buoyant AUD/NZD cross and profit-taking on long-NZD positions as caution sets in ahead of U.S. non-farm payrolls report on Thursday. Daily chart is still positive-biased as MACD is bullish, stochastics stays elevated at overbought zone, five- and 15-day moving averages are 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 0.88 and the second target at 0.8835. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 0.87. A breach of this target would push the pair further downwards and one may expect the second target at 0.8680. The pivot point is at 0.8740.
Resistance levels:
0.8800
0.8835
0.8860
Support levels:
0.87
0.8680
0.8655
The material has been provided by InstaForex Company – www.instaforex.com
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