- NZD/USD Technical Strategy: Flat
- Support: 0.7294, 0.7187, 0.7016
- Resistance:0.7380, 0.7465, 0.7572
The New Zealand dollar declined against its US namesake as expected after prices produced a bearish Three Inside Down candlestick pattern. A daily close below the 61.8% Fibonacci expansion at 0.7294 exposes the 76.4% level at 0.7187. Alternatively, a turn above the 50% Fib at 0.7465 clears the way for a challenge of the 38.2% retracement at 0.7465.
The available trading range is too narrow to justify entering a trade on the long or short side from a risk/reward perspective. With that in mind, we will remain flat for now, waiting for price action to offer a more compelling opportunity down the road.
NZD/USD Technical Analysis: From 11/7/2014