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EUR/NZD analysis for June 21, 2016

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Recently, EUR/NZD has been moving downwards. As I expected, the price tested my first target at 1.5840. According to the 1H time frame, I found a broken bearish flag formation. In the background, I saw a sharp decline in a heavy volume, which is a good sign that sellers are in control. If the price breaks the level of 1.5840 in a high volume, we may see potential testing of 1.5500 (major Fibonacci expansion 61.8%).

Fibonacci Pivot Points:

Resistance levels:

R1: 1.5995

R2: 1.6030

R3: 1.6090

Support levels:

S1: 1.5885

S2: 1.5850

S3: 1.5790

Trading recommendations for today: Watch for selling opportunities on pullbacks since I found strong downward momentum in the background and a broken bearish flag (continuation pattern)

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