After a heavy downtrend, it looks like NZD/CAD finally found
the bottom and started printing higher highs and higher lows signaling a potential trend reversal.
After testing the 0.8350 bottom, the price moved
within the ascending channel and currently is right at the bottom of the
channel rejecting the lower trendline. The 200 MA has been broken to an upside
and has been rejected as well as throughout this week after
multiple bounces. The 200MA clearly acting as a key support and with the price
having hard time breaking below it should bring more buyers to the market.
This could be a very fast uptrend providing an excellent
opportunity to go long. Consider buying NZD/CAD today, while it is trading near
200MA. There are two targets that could be used for profit taking. The first being at 161.8%, and the second, at 261.8% retracement levels of the Fibonacci applied to the
29.07 high and 12.08 low. Daily close below the most recent low that is also a psychological
support level – 0.8500 could be used as a signal to close long positions.
Resistance: 0.8630, 8710, 0.8836, 0.9044
The material has been provided by InstaForex Company – www.instaforex.com