NZD/USD is expected to trade in a lower range as the key resistance is seen at 0.6645. The pair stays below its key resistance at 1.3765 and remains on the downside. Meanwhile, the relative strength index lacks upward momentum. The first target to the downside is therefore set at 0.6575. A breakout below this level would open the way to further weakness toward 0.6540.
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 0.6575. A break of this target will move the pair further downwards to 0.6540. The pivot point stands at 0.6645. 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 0.6675 and the second target at 0.67.
Resistance levels: 0.6675, 0.67, 0.6745
Support levels: 0.6575, 0.6540, 0.6505
The material has been provided by InstaForex Company - www.instaforex.com