Overview:
- The NZD/USD pair dropped from the level of 0.6726 to the bottom around 0.6581. But the pair has rebounded from the bottom of 0.6581 to close at 0.6617. Today, the first support level is seen at 0.6581, and the price is moving in a bearish channel now. Furthermore, the price has been set below the strong resistance at the level of 0.6636, which coincides with the 61.8% Fibonacci retracement level. This resistance has been rejected several times confirming the downtrend. Additionally, the RSI starts signaling a downward trend. As a result, if the NZD/USD pair is able to break out the first support at 0.6581, the market will decline further to 0.6529 in order to test the weekly support 2. In the H4 time frame, the pair will probably go down because the downtrend is still strong. Consequently, the market is likely to show signs of a bearish trend. So, it will be good to sell below the level of 0.6636 with the first target at 0.6581 and further to 0.6529. At the same time, the breakdown of 0.6640 will allow the pair to go further up to the levels of 0.6726 in order to retest the weekly pivot point again.
