Trading recommandations:
- The NZD/USD pair called for the bearish market from the price of 0.6640 this week. So, the price of 0.6647 is representing strong resistance. Moreover, the level of 0.6647 is coinciding with the ratio of 23.6% Fibonacci retracement levels. Additionally, the support (major support for August 6, 2015) will be at the level of 0.6531, but the double bottom is going to be at 0.6498. Therefore, it will be very useful to sell at this level with targets of 0.6531 and 0.6498. The stop loss should never exceed your maximum exposure amounts. Thus, place your stop loss at the price of 0.6678.
Observations:
- According to the previous events, the NZD/USD pair is going to move between 0.6640 and 0.6498.
- We expect a new range about 55 pips today.
- If the trend is of an upside character, the strength of the currency will be defined as following: NZD is in an uptrend and USD is in a downtrend.
- If there is no significant news to influence, the market price will be moving from pivot point to resistance 1 or support 1. But if there is significant news to influence, the market price may go straight through resistance 1 or support 1 and reach resistance 2 or support 2, and even resistance 3 or support 3.
