Overview:
- The NZD/USD pair dropped sharply from the level of 0.6638 towards 0.6545. Now, the price is set at 0.6604. On the H1 chart, the resistance is seen at the levels of 0.6638 and 0.6686. Volatility is very high for that the NZD/USD pair is still expected to be moving between 0.6545 and 0.6686 in coming hours. In the short term, we expect the NZD/USD pair to continue to trade in a bullish trend from the new support level of 0.6570 to form a bullish channel. Also, it should be noted that major resistance is seen at 0.6686, while immediate resistance is found at 0.6638. According to the previous events, the pair is likely to move from 0.6570 towards 0.6638 and 0.6686 as targets.
- In the H4 time frame:
- However, if the pair fails to pass through the level of 0.6686, the market will indicate a bearish opportunity below the level of 0.6686. So, the market will decline further to 0.6604 in order to return to the daily pivot point (0.6604). Moreover, a breakout of that target will move the pair further downwards to 0.6528.
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