NZD/USD is expected to trade in a higher range as the bias remains bullish above 0.6835. From a chartist view, the pair stands firmly above its nearest support at 0.6965, and is likely to post a new bounce to challenge 0.7030 in the coming trading hours. The relative strength index is mixed to bullish, calling for a rebound. Therefore, as long as 0.6780 holds on the downside, look for 0.6965 and 0.7030 in extension.
Trading recommendations:
The pair is trading above its pivot point. It is likely to trade in a wider range as long as it remains above its pivot point. Therefore, long positions are recommended with the first target at 0.6965 and the second one at 0.7030. In the alternative scenario, short positions are recommended with the first target at 0.6780 if the price moves below its pivot points. A break of this target is likely to push the pair further downwards, and one may expect the second target at 0.6725. The pivot point is at 0.6835.
Resistance levels: 0.6965, 0.7030, 0.7065
Support levels: 0.6780, 0.6725, 0.6695
The material has been provided by InstaForex Company - www.instaforex.com