Last week NZDUSD broke below the uptrend trend line while trading below both 50 and 200 Moving Average. The Fibonacci applied to the trend line breakout point shows that the pair broke below the 38.2% Fibs support but have not tested 23.6%.
Currently, NZDUSD is trading right at the 50% Fibs level and testing the 50 Moving Average, which should act as resistance.
Consider selling NZDUSD while the rate is near the 50% Fibs (0.7265), targeting either 38.2% (0.7240), 23.6% (0.7210) or 0% Fibs (0.7160) as the final downside target. The stop loss should be above the 50 Moving average and 50% Fibs - 0.7280.
Support: 0.7240, 0.7210, 0.7160
Resistance: 0.7265, 0.7290
