NZD/USD is expected to trade in a higher range as bias remains bullish. The pair posted a rebound yesterday, and now stands above its nearest support at 0.6775. The relative strength index seems to have lost its upward momentum, calling for caution. Nevertheless, as long as 0.6775 is not clearly broken, even though a continuation of the consolidation cannot be ruled out, its extent should be limited. The intraday outlook is mixed with the bullish bias. Our next up targets are set at 0.6850 and 0.6890 in extension.
Trading recommendations:
The pair is trading above its pivot point. It is likely to trade in a wider range as long as it remains above its pivot point. Therefore, long positions are recommended with the first target at 0.6850 and the second one, at 0.6890. In the alternative scenario, short positions are recommended with the first target at 0.6740. if the price moves below its pivot points. A break of this target is likely to push the pair further downwards, and one may expect the second target at 0.6710. The pivot point is at 0.6775.
Resistance levels:0.6850, 0.6890, 0.6935
Support levels: 0.6740, 0.6710, 0.6665
The material has been provided by InstaForex Company – www.instaforex.com
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