NZD/USD is expected to trade in a higher range. It is underpinned by the Kiwi demand on NZD/JPY cross amid reduced risk aversion and weaker dollar sentiment, reduced concerns over China and hawkish Reserve Bank of New Zealand’s monetary policy stance. But NZD/USD gains are tempered by the caution before Wednesday’s Federal Reserve monetary policy decision and Kiwi sales on rebounding AUD/NZD cross. Daily chart is positive biased as bullish outside-day-range pattern was completed on Thursday, MACD is bullish , stochastics stays elevated at overbought zone, the 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 0.8650 and the second target at 0.8675. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 0.8490. A breach of this target will push the pair further downwards and one may expect the second target at 0.8430. The pivot point is at 0.8515.
Resistance levels:
0.8650
0.8675
0.87
Support levels:
0.8490
0.8430
0.84
The material has been provided by InstaForex Company – www.instaforex.com
Overview:
NZD/USD is expected to trade in a higher range. It is underpinned by the Kiwi demand on NZD/JPY cross amid reduced risk aversion and weaker dollar sentiment, reduced concerns over China and hawkish Reserve Bank of New Zealand’s monetary policy stance. But NZD/USD gains are tempered by the caution before Wednesday’s Federal Reserve monetary policy decision and Kiwi sales on rebounding AUD/NZD cross. Daily chart is positive biased as bullish outside-day-range pattern was completed on Thursday, MACD is bullish , stochastics stays elevated at overbought zone, the 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 0.8650 and the second target at 0.8675. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 0.8490. A breach of this target will push the pair further downwards and one may expect the second target at 0.8430. The pivot point is at 0.8515.
Resistance levels:
0.8650
0.8675
0.87
Support levels:
0.8490
0.8430
0.84
The material has been provided by InstaForex Company – www.instaforex.com
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