Technical analysis of NZD/USD for December 27, 2016 - Forex247

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Tuesday, December 27, 2016

Technical analysis of NZD/USD for December 27, 2016

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Overview:

  • The NZD/USD pair opened below the daily pivot point (0.6905). It continued to move downwards from the level of 0.6905 to the bottom around 0.6861. Today, the first resistance level is seen at 0.6948 followed by 0.7002, while daily support 1 lies at 0.6830. Furthermore, the moving average (100) starts signaling a downward trend. Therefore, the market is indicating a bearish opportunity below 0.6948 - 0.6905. So it will be good to sell at 0.6948 - 0.6905 with the first target at the 0.6861 level which represents the double bottom on the H4 chart. It will also call for a downtrend in order to continue towards 0.6830. The strong daily support is seen at the 0.6830 mark. According to the previous events, we expect the NZD/USD pair to trade between 0.6948 and 0.6830 in coming hours. The price area of 0.6948 remains a significant resistance zone. Thus, the trend is still bearish as long as the level of 0.6950 is not broken. On the contrary, in case a reversal takes place and the NZD/USD pair breaks through the resistance level of 0.6948, then a stop loss should be placed at 0.7002
The material has been provided by InstaForex Company - www.instaforex.com

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