NZD/USD is expected to trade with a bearish bias. The pair remains under pressure below its nearest resistance at 0.6350, and seemsto be ready to post a new pullback, as the intraday RSI lacks upward momentum. The 50-period intraday MA is negatively oriented, which suggests that the prices still have some downside potential to go. Therefore, as long as the resistance at 0.6350 is not surpassed, the risk of the break below 0.6240 remains high.
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 0.6240. A break of that target will move the pair further downwards to 0.6205. The pivot point stands at 0.6350. 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 0.6400 and the second target at 0.6430.
Resistance levels: 0.64 0.6430 0.6475
Support levels: 0.6240 0.6205 0.6175
The material has been provided by InstaForex Company – www.instaforex.com