Technical Analysis: NZDUSD for daily close above the 0.7503 area with 38.2% Fibonacci expansion
15 April 2015, 21:11
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New Zealand Dollar corrected higher against US namesake after
seemingly overturning the up move from the March swing low yesterday. A
daily close above the 0.7503 area (horizontal pivot, 38.2% Fibonacci
expansion) exposes the 50% level.
Alternatively, a reversal above trend line support-turned-resistance at 0.7547 clears the way for a challenge of 0.7608 (December 9 low, falling trend line).
The corrective rebound has improved risk/reward parameters and we will now enter short, initially targeting 0.7418. A stop-loss will be activated on a daily close above 0.7608. We will book profit on half of the position and move the stop-loss to breakeven (0.7513) once the first objective is reached.
Alternatively, a reversal above trend line support-turned-resistance at 0.7547 clears the way for a challenge of 0.7608 (December 9 low, falling trend line).
| Resistance | Support |
|---|---|
| 0.7547 | 0.7406 |
| 0.7608 | 0.7332 |
The corrective rebound has improved risk/reward parameters and we will now enter short, initially targeting 0.7418. A stop-loss will be activated on a daily close above 0.7608. We will book profit on half of the position and move the stop-loss to breakeven (0.7513) once the first objective is reached.
