Technical analysis of NZD/USD for December 16, 2016 - Forex247

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Friday, December 16, 2016

Technical analysis of NZD/USD for December 16, 2016

NZDUSDH4.png

Overview:

  • The NZD/USD pair dropped sharply from the level of 0.7136 towards 0.7022. Now, the price is set at 0.7025. On the H4 chart, the resistance is seen at the levels of 0.7073 and 0.7106. Volatility is very high for that the NZD/USD pair is still expected to be moving between 0.7073 and 0.6971 in coming hours. In the short term, we expect the NZD/USD pair to continue to trade in a bearish trend from the new support level of 0.7022 to form a bearish channel. Also, it should be noted that major resistance is seen at 0.7136, while immediate resistance is found at 0.7073. According to the previous events, the pair is likely to move from 0.7022 towards 00.6971 as targets in order to test the double bottom. However, if the pair fails to pass through the level of 0.6971, the market will indicate a bullish opportunity above the level of 0.6971 (the double bottom). So, the market will rise further to 0.7022 so as to return to first support. Moreover, a breakout of that target will move the pair further upwards to 0.7073.
The material has been provided by InstaForex Company - www.instaforex.com

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