Fundamental overview:
NZD/USD is expected to trade with bullish bias. It is supported by the weaker dollar sentiment, improved investor risk appetite and firmer commodity prices. The pair is also boosted by the kiwi demand on soft AUD/NZD cross and NZD-USD interest differential. But the NZD/USD gains are tempered by the positions adjustment ahead of the weekend.
Technical comment:
Th daily chart is positive-biased as bullish outside-day-range pattern was completed on Thursday. The MACD and stochastics are bullish. Five-day moving average is rising above 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 0.7485 and the second target at 0.7530. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 0.7360. A break of this target would push the pair further downwards, and one may expect the second target at 0.7310. The pivot point is at 0.74.
Resistance levels:
0.7485
0.7530
0.7585
Support levels:
0.7360
0.7310
0.7265
The material has been provided by InstaForex Company - www.instaforex.com
