Overview:
- In the short term, the NZD/USD pair is going to set strong resistance at the level of 0.7165 and support at 0.7024. The price is still moving between 0.7030 and 0.7165. Also, the NZD/USD pair is still below the ratio of 38.2% Fibonacci retracement levels. As a result, the price has already formed the strong resistance at the level of 0.7165. Now it is approaching it in order to test it again. Therefore, the kiwi will get a downside convincing momentum and the structure of the fall does not look corrective from the area of 0.7165. Consequently, the trend indicates a bearish opportunity below the level of 0.7165. So, it will be a good sign to sell below 0.7160 with the first target at 0.7111 (this level coincides with the daily pivot point) and it will call for a downtrend to continue bearish move towards 0.7024 in order to retest the double bottom in the coming hours.
- On the other hand, the stop loss should always be taken into account. Subsequently, it will be wise to set your stop loss at 0.7185.
