NZD/USD is expected to trade with bearish bias. The pair remains capped by an intraday declining trendline, and is also below its key resistance at 0.6590, which should maintain selling pressure. The 20- and 50-period MAs are still heading downwards. Besides, the intraday RSI lacks upward momentum. According to these perspectives, as long as 0.659 is not surpassed, look for choppy price action with a bearish bias. Our first upside target is set at 0.6510 and the second one at 0.6470.
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 0.6510. A break of that target will move the pair further downwards to 0.6465. The pivot point stands at 0.6590. In case the price moves in the opposite direction and bounces back from the support level, it will move 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 0.6630 and the second target at 0.6675.
Resistance levels: 0.6630 0.6675 0.6735
Support levels: 0.6510 0.6465 0.6415
The material has been provided by InstaForex Company – www.instaforex.com