NZD/USD is expected to trade in a higher range. The pair failed to break above its intraday resistance at 0.6620, and reversed down on an intraday basis. The intraday RSI is below its neutrality level of 50 with a negative bias. Moreover, a bearish cross between the 20- and 50-period intraday MAs has been identified, which should confirm a negative view. As long as 0.6550 is not surpassed, look for further upside to 0.6620 and 0.6660 in extension.
Technical comment: The daily chart is mixed as the MACD is in bullish mode, but stochastics is neutral.
The pair is trading above its pivot point. It is likely to trade in a higher range as far as it remains above its pivot point. As long as the price keeps above its pivot point, long positions are recommended with the first target at 0.6620 and the second target at 0.6660. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 0.65. A break of this target would push the pair further downwards, and one may expect the second target at 0.6455. The pivot point is at 0.6550.
Resistance levels: 0.6620 0.6660 0.6695
Support levels: 0.65 0.6455 0.64
The material has been provided by InstaForex Company – www.instaforex.com