The pair has been cruising above a rising trend line on its hourly chart, forming higher since the start of this month.
Price looks ready for another test of support, which happens to be right around the 61.8% Fibonacci retracement level and the 1.6100 major psychological support.
To top it off, this lines up with the 200 SMA dynamic inflection point which adds to its strength as a floor.
The 100 SMA is above the 200 SMA to hint that the uptrend is more likely to resume than to reverse. Also, Stochastic is pulling higher after its dip to the oversold region, indicating that euro bulls are ready to return.
In that case, EUR/NZD could be in for another rally to the swing high around the 1.6350 minor psychological mark and beyond.
Better keep your eyes peeled for reversal candlesticks around the area of interest if you’re taking a long position on this one!
Upcoming Potential Catalysts on the Forex Economic Calendar:
Price looks ready for another test of support, which happens to be right around the 61.8% Fibonacci retracement level and the 1.6100 major psychological support.
To top it off, this lines up with the 200 SMA dynamic inflection point which adds to its strength as a floor.
The 100 SMA is above the 200 SMA to hint that the uptrend is more likely to resume than to reverse. Also, Stochastic is pulling higher after its dip to the oversold region, indicating that euro bulls are ready to return.
In that case, EUR/NZD could be in for another rally to the swing high around the 1.6350 minor psychological mark and beyond.
Better keep your eyes peeled for reversal candlesticks around the area of interest if you’re taking a long position on this one!
Upcoming Potential Catalysts on the Forex Economic Calendar:
- U.S. core durable goods orders at 12:30 pm GMT
U.S. CB consumer confidence index at 2:00 pm GMT
U.S. new home sales at 2:00 pm GMT
U.S. Richmond manufacturing index at 2:00 pm GMT