NZD/USD upward movement is supported by a rising trend line. The pair has been supported by a bullish trend line since December 28. The relative strength index stands firmly above its neutrality level at 50 without any reversal signal. Therefore, as long as 0.6945 is not broken below, the pair is expected to post further rebound to challenge 0.6975 at first.
The pair is trading above its pivot point. It is likely to trade in a wider range as long as it remains above its pivot point. Therefore, long positions are recommended with the first target at 0.6975 and the second one at 0.6990. In the alternative scenario, short positions are recommended with the first target at 0.6930 if the price moves below its pivot point. A break of this target is likely to push the pair further downwards, and one may expect the second target at 0.6915. The pivot point lies at 0.6945.
Resistance levels: 06975, 0.6990, 0.6715
Support levels: 0.6930, 0.6915, 0.6865
The material has been provided by InstaForex Company - www.instaforex.com