NZD/USD is under pressire. From a technical view, the prices remain on the downside, and are now testing the nearest support at 0.7130. The risk is a slide below this threshold, which would trigger a bearish acceleration to 0.7045. Besides, the relative strength index is below its neutrality area at 50.
Hence, as long as 0.7065 is not surpassed, look for further advance to 0.7065 and 0.7045 in extension.
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 0.7065. A break below this target will move the pair further downwards to 0.7045. The pivot point stands at 0.7130. In case the price moves in the opposite direction and bounces back from the support level, it will go 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 0.7170 and the second one at 0.7200.
Resistance levels: 0.7170, 0.7200, 0.7250
Support levels: 0.7065, 0.7045, 0.7000
The material has been provided by InstaForex Company - www.instaforex.com