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EUR/NZD: analysis for July 21, 2015

EURNZDDaily21.png

EURNZDM3021.png

Overview:

Recently, EUR/NZD is moving downwards. As we had expected, the price tested the level of 1.6359 in a volume above the average. In the daily time frame, we can observe a weak downward bar in a volume below the average. There is also an inside-bar formation at the level of 16677 (held successful) and a low (support) at 1.6340. Watch for a potential breakout of inside-bar support or resistance. Besides, the price has broke our upward trendline. The short-term trend is neutral, but the mid-term trend is still bullish. I am still waiting for larger liquidity and stronger price actions to confirm the further direction.

Fibonacci Pivot Points :

Resistance levels:

R1: 1.6595

R2: 1.6645

R3: 1.6728

Support levels:

S1: 1.6440

S2: 1.6390

S3: 1.6312

Trading recommendations: Buying EUR/NZD at this stage looks risky since we have the fake breakout in the background.

The material has been provided by InstaForex Company - www.instaforex.com