NZD/USD is expected to trade in a lower range. The pair is pressured by the report that New Zealand's jobless rate edged up to 6.0% in Q3 from 5.9% in Q2. Both the 20- and 50-period MAs are turning downwards, and should play key resistance roles. Besides, the intraday RSI is mixed to bearish below its neutrality level at 50. The nearest support is at 0.6605, and a break below this threshold would trigger a further decline towards 0.6580.
Trading recommendations:
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 0.6605. A break of that target will move the pair further downwards to 0.6580. The pivot point stands at 0.6695. 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 0.6755 and the second target at 0.6785.
Resistance levels: 0.6755 0.6785 0.6810 Support levels: 0.6605 0.6580 0.6530
The material has been provided by InstaForex Company - www.instaforex.com