NZD/USD is expected to trade in higher range. The movement is supported by the kiwi demand on soft AUD/NZD cross and hawkish Reserve Bank of New Zealand’s monetary policy stance. The RBNZ is due to announce its policy decision on Thursday 9 am NZ time. But NZD/USD gains are tempered by the concerns over economic slowdown in China, kiwi sales on NZD/JPY cross amid decreased investor risk appetite and positive dollar sentiment. Daily chart is mixed as MACD is bullish, 5- and 15- day moving averages are advancing, but stochastics is turning bearish at overbought zone.
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 0.852 and the second target at 0.8545. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 0.84. A breach of this target will push the pair further downwards and one may expect the second target at 0.8370. The pivot point is at 0.843.
Resistance levels:
0.852
0.8545
0.8590
Support levels:
0.84
0.8370
0.8330
The material has been provided by InstaForex Company – www.instaforex.com
Overview:
NZD/USD is expected to trade in higher range. The movement is supported by the kiwi demand on soft AUD/NZD cross and hawkish Reserve Bank of New Zealand’s monetary policy stance. The RBNZ is due to announce its policy decision on Thursday 9 am NZ time. But NZD/USD gains are tempered by the concerns over economic slowdown in China, kiwi sales on NZD/JPY cross amid decreased investor risk appetite and positive dollar sentiment. Daily chart is mixed as MACD is bullish, 5- and 15- day moving averages are advancing, but stochastics is turning bearish at overbought zone.
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 0.852 and the second target at 0.8545. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 0.84. A breach of this target will push the pair further downwards and one may expect the second target at 0.8370. The pivot point is at 0.843.
Resistance levels:
0.852
0.8545
0.8590
Support levels:
0.84
0.8370
0.8330
The material has been provided by InstaForex Company – www.instaforex.com
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