NZD/USD: decline resumed on 13.07.2015

July 13, 2015

Current trend

Greece stays in eurozone. The agreement was reached on Monday after difficult talks between Greece and the eurozone leaders. Greece is going to receive a new bailout program on conditions that the government of Alexis Tsipras implements tough economic reforms. If Greece’s government accepts the proposal, on Wednesday the Eurogroup meets again to finalise the plan.

During the Asian session, the USD fell against AUD and NZD but began strengthening since the European session started. The NZD/USD pair is now trading near its opening level of 0.6700 and the downward tendency is growing.

The Fed Chair Janet Yellen did not give new hints regarding the anticipated interest rates hike in her last speech.

Therefore, the pair is going to remain under the pressure amid uncertainty surrounding Greece, low prices for dairy products, softening monetary policy in New Zealand and the Chinese stock markets fall.

Support and resistance

The pair NZD/USD is trading near its 5 years lows.

On the way down, the pair is going to meet the following support levels: 0.6560 (2010 lows), 0.6435 (61.8% Fibonacci), 0.6000 (2006 lows).

OsMA and Stochastic on the 4-hour chart give sell signals and are turning to form sell signals on the daily chart.

Any local strengthening of the pair should be considered as an opportunity to open short positions.

Support levels: 0.6620, 0.6565, 0.6435.

Resistance levels: 0.6800, 0.6890, 0.7000.

Trading tips

Open short positions from the current levels and from 0.6700, 0.6735, 0.6750, 0.6800 with targets at 0.6600, 0.6450 and stop-loss at 0.6850.

Long positions can be opened after the breakout of the level of 0.6890 (50% Fibonacci) with targets at 0.6900, 0.6950, 0.7000.

Publication source
LiteForex information  LiteForex reviews

October 25, 2016
Oil rally fizzles out as OPEC efforts seen sterile
The Oil prices retreated on Monday during the Asian trading session as the investors started opting to cut bullish wagers because the doubts gathered about the inability to produce significant changes in the output freeze agreement unless the demand does not increase...
October 25, 2016
Policy divergence
The policy divergence play that is EURUSD was more stable at the early part of the week, this following on from the break below the 24th June low that has marked the major support point and especially over recent days...
October 24, 2016
A volatile week ahead
Global stocks were resilient last week Friday with major arenas clawing back gains following the upbeat corporate earnings and stabilising oil prices which revived risk appetite...

HYCM Rating
FIBO Group Rating
OctaFX Rating Rating
FBS Rating
HotForex Rating

Grand Option Rating
Binary Brokerz Rating
EZTrader Rating
OptionsXO Rating
OptionFair Rating
24option Rating