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EUR/NZD analysis for October 21, 2015

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Overview:

Recently, EUR/NZD has been moving upwards. The price tested the level of 1.6944. In the daily time frame, we can observe a weak demand bar. The price is above the 200 SMA in the daily and weekly time frames. The price is about to break our downward channel, but we still need high-volume demand to confirm it. Selling EUR/NZD at this stage looks risky. I am waiting for larger liquidity and stronger price action to confirm further direction. The first support level is seen at 1.6505. According to the H1 time frame, I found 4-day base broken and double bottom. So, watch for potential buying opportunities. Anyway, I would wait for a clear price action and larger liqudity to confirm further direction.

Fibonacci Pivot Points :

Resistance levels:

R1: 1.6835

R2: 1.6895

R3: 1.6991

Support levels:

S1: 1.6645

S2: 1.6585

S3: 1.6490

Trading recommendations: Be careful when selling at this stage. Buying positions are preferable. Resistance level is around the price of 1.7190.

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