NZD/USD is expected to trade with a bearish bias as key resistance is at 0.7305. The pair remains under pressure below its key resistance at 0.7305, and the upside potential should be limited by this level. Furthermore, the relative strength index is mixed to bearish, and lacks upward momentum. To conclude, as long as 0.7305 holds on the upside, the pair is likely to drop to 0.7220 at first, if breakout, look for a further decline to 0.7185 as likely.
The pair is trading below its pivot point. It is likely to trade in a lower range as long as it remains below the pivot point. Short positions are recommended with the first target at 0.7220. A break below this target will move the pair further downwards to 0.7180. The pivot point stands at 0.7305. In case the price moves in the opposite direction and bounces back from the support level, it will move above its pivot point. It is likely to move further to the upside. According to that scenario, long positions are recommended with the first target at 0.7335 and the second one, at 0.7380.
Resistance levels: 0.7335, 0.7380, 0.7410
Support levels: 0.7220, 0.7185, 0.7120
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