Overview:
Since our last analysis, EUR/NZD has been trading downwards. As we expected, the price tested the level of 1.5550 in an ultra high volume (selling climax) according to the daily time frame. It is still unsafe to buy anything, so watch for potential selling opportunities after retracement. According to the 4H time frame, we can observe weak reaction from buyears (reaction on ultra high volume supply), so buying looks very risky. I have placed Fibonacci retracement to find potential resistance levels if the price starts a bullish corrective phase. I got Fibonacci retracement 38.2% at the price of 1.5656 and Fibonacci retracement 61.8% at the price of 1.5720. Anyway, if the price breaks the level of 1.5550, we may see potential testing the level of 1.5455 (swing low like support)
Daily Fibonacci pivot levels :
Resistance levels:
R1: 1.5745
R2: 1.5806
R3: 1.5904
Support levels:
S1: 1.5550
S2: 1.5489
S3: 1.5392
Trading recommendations: Be careful when buying the EUR/NZD pair and watch for selling opportunities after retracement.
The material has been provided by InstaForex Company - www.instaforex.com
