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EUR/NZD analysis for August 04, 2015

EURNZDDaily04.png

EURNZDH104.png

Overview:

Recently, EUR/NZD has been moving downwards. As we expected, the price tested the level of 1.733. In the daily time frame, we can observe a supply bar in an average volume. The trend is neutral. Buying still looks risky, since we got strong weakness today. Watch only for selling opportunities after retracement. We need to see a change in the trend behavior from neutral to downward and then we can watch for selling opportunities. According to the H1 time frame, we can observe sings of weakness (no demand and upthrust) that means we may expect a downward movement. I placed Fibonacci retracement to find potential resistance level and our Fibonacci retracement 50% at the price of 1.7510 is on the test.

Fibonacci Pivot Points :

Resistance levels:

R1: 1.7640

R2: 1.7735

R3: 1.7895

Support levels:

S1: 1.7327

S2: 1.7230

S3: 1.7075

Trading recommendations: Watch only for selling opportunities after retracement.

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