NZD/USD short trade - target 0.7040
NZD/USD bearish bias:
Stochs have rolled over from overbought zone and we see a bearish MACD line crossover on signal line.
Pair has broken major trendline support at 0.7185 and has fallen below 20-DMA support at 0.7169.
Good to go short on rallies around 0.7170/60, SL: 0.7230, TP: 0.7060/ 0.7040
Stochs have rolled over from overbought zone and we see a bearish MACD line crossover on signal line.
Pair has broken major trendline support at 0.7185 and has fallen below 20-DMA support at 0.7169.
Good to go short on rallies around 0.7170/60, SL: 0.7230, TP: 0.7060/ 0.7040
Data released today showed NZ consumer price index (CPI) rose at an annualized 0.4% pace in Q2, unchanged from Q1, but slightly lower than the estimate of 0.5%.
The pair extended downside for the the fourth-day, hit session lows of 0.7068 before paring some losses to currently trade around 0.7090 levels.
Recommend lowering trailing stop to 0.7170, and hold for targets. Techs are biased lower, bearish invalidation only above 0.72 levels.
Immediate support and resistance are now located at 0.7060 (trendline) and 0.7166 (20-DMA).