Fundamental overview:
NZD/USD is expected to trade with a bullish bias. It is ndermined by the broadly firmer dollar undertone, soft commodity prices and diminished investor risk appetite. But NZD sentiment are soothed by the ANZ monthly New Zealand business survey for November showing a net 31.5% of respondents expected business conditions to improve over the next 12 months compared with a net 26.5% in the previous survey. NZD/USD losses are also tempered by the NZD-USD interest differential, Kiwi demand on buoyant NZD/JPY cross amid the weak yen sentiment and Kiwi demand on soft AUD/NZD cross.
Technical Comment:
Daily chart is mixed as MACD is bullish; but stochastics is bearish, five-day moving average is falling below 15-day moving average.
Trading recommendations:
The pair is trading above its pivot point. It is likely to trade in a higher range as far as it remains above its pivot point. As long as the price is keeping above its pivot point, a long position is recommended with the first target at 0.7925 and the second target at 0.7950. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 0.78. A break of this target would push the pair further downwards and one may expect the second target at 0.7775. The pivot point is at 0.7845.
Resistance levels:
0.7925
0.7950
0.7975
Support levels:
0.78
0.7775
0.7750
The material has been provided by InstaForex Company - www.instaforex.com
