Technical Analysis of NZD/USD for March 22, 2016
NZD/USD is expected to trade with a bearish bias. The pair remains under pressure below its nearest resistance at 0.6815, which is expected to limit any upward attempts. A continuation of the consolidation seems more likely to occur, as the relative strength index lacks upward momentum, and the key moving averages are mixed with a bearish bias. To conclude, as long as 0.6815 is not clearly surpassed, look for further downsides to 0.6705 and 0.6660 in extension.
Trading recommendations:
The pair is trading below its pivot point. It is likely to trade in a lower range as long as it remains below the pivot point. Short positions are recommended with the first target at 0.6705. A break of this target will move the pair further downwards to 0.6660. The pivot point stands at 0.6815. In case the price moves in the opposite direction and bounces back from the support level, it will move above its pivot point. It is likely to move further to the upside. According to that scenario, long positions are recommended with the first target at 0.6870 and the second target at 0.6925.
Resistance levels: 0.6870, 0.6925, 0.6975
Support levels: 0.6705, 0.666, 0.6620
The material has been provided by InstaForex Company - www.instaforex.com
