Technical analysis of NZD/USD for March 06, 2018

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Overview:

  • The pair is still trading around the pivot point (0.7200). The NZD/USD pair continues to move downwards from the level of 0.7336. This week, the pair fell from the level of 0.7336 to the bottom around 0.7200. Today, the first resistance level is seen at 0.7256 followed by 0.7336, while daily support 1 is found at 0.7200. Also, the level of 0.7200 represents a weekly pivot point for that it is acting as major resistance/support this week. Amid the previous events, the pair is still in a downtrend, because the NZD/USD pair is trading in a bearish trend from the new resistance line of 0.7256 towards the first support level at 0.7200 in order to test it. If the pair succeeds to pass through the level of 0.7200, the market will indicate a bearish opportunity below the level of 0.7200. Then, the pair will move downwards continuing the bearish trend development to the level 0.7145 in order to test the daily support1. On the other hand, if a breakout happens at the resistance level of 0.7340, then this scenario may be invalidated.
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