Technical Analysis of NZD/USD for April 12, 2016
NZD/USD is expected to trade with a bullish bias above 0.6820. The pair remains strongly on the upside and is also supported by its rising 50-period moving average. The relative strength index stands firmly above its neutrality area at 50 and lacks downward momentum. Therefore, even though a consolidation cannot be ruled out at the current stage, its extent should be limited. As long as 0.6820 is not broken, look for further advance to 0.6905 and 0.6925 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 0.6905 and the second one, at 0.6925. In the alternative scenario, short positions are recommended with the first target at 0.6785 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 0.6755. The pivot point is at 0.6820.
Resistance levels: 0.6905, 0.6925, 0.6955
Support levels: 0.6785, 0.6755, 0.6735
The material has been provided by InstaForex Company - www.instaforex.com
