Technical outlook and chart setups:
1. The NZD/USD pair has been drifting sideways in a tight range after printing lows around the 0.8410 levels last week. The range of support is 0.8460/70, while resistance is around 0.8490/0.8500. The pair could drift lower towards the 0.8450 levels before pushing higher through the 0.8530 levels.
2. Support is seen at 0.8460/50 levels (interim), followed by 0.8400, and lower while resistance is at 0.8530, followed by 0.8650/0.8700 and higher respectively.
3. The structure indicates that NZD/USD could resume its 3 step counter trend rally any moment now. Buying on dips is favored.
Trading recommendations:
Initiate long positions around 0.8450 levels, risk below 0.8400, target is open.
Good luck!
The material has been provided by InstaForex Company - www.instaforex.com
