Technical outlook and chart setups:
The NZD/USD pair is trading around 0.6410. It managed to hit its lows and bounced off 0.6200 last week. The pair has found support at the fibonacci 0.618 level of the entire rally that began in March 2009 and topped out in August 2011. The pair seems to have completed its ABC correction at 0.6200. It is hence recommended to initiate long positions now with risk at 0.6100. Immediate support is seen at the levels around 0.6200 followed by 0.5400 and lower, while resistance is seen at 0.6700 and higher on the weekly chart.
Trading recommendations:
Initiate long positions now, stop is at 0.6100, a target is open.
Good luck!
The material has been provided by InstaForex Company - www.instaforex.com