9 Jul 2014
NZD/USD bulls break lances at 0.8800 resistance
FXStreet (Moscow) - NZD/USD is trying to recover from Asian lows of 0.8782; the pair climbed to 0.8798, but failed on approach to strong offers.
Bulls are trying to claw back ground
NZD/USD had another try at 0.8800 on Tuesday, but this nut seems to be too hard to crack. Strong offers on approach to this bespoke resistance and a buffer of stops won’t let the bulls higher easily. Partially, this is the reason for weak kiwi sentiments early on Wednesday. Apart from technical factors, electronic card retail sales came out worse than expected (4.0%m/m, 0.0%y/y against forecasted 7.6%m/m and 1.3%y/y), which added fuel to the bearish fire. Kiwi might be vulnerable during the day ahead of FOM minutes, though the bears need to break below 0.8750/45 to get a better chance for a sustained downside.
What price levels and patterns have to be considered?
Spot is presently trading at 0.8786, and next resistance can be seen at 0.8788 (Daily Open), 0.8788 (Monthly High), 0.8788 (Weekly High), 0.8788 (Annual High) and 0.8788 (YTD High).
Support below can be found at 0.8785 (Hourly 20 EMA), 0.8784 (Weekly Classic R1), 0.8780 (Daily Low), 0.8778 (Daily Classic PP) and 0.8761 (Hourly 200 SMA).
Regarding candlestick formations, we can see Doji formation on the 1-hour .
Bulls are trying to claw back ground
NZD/USD had another try at 0.8800 on Tuesday, but this nut seems to be too hard to crack. Strong offers on approach to this bespoke resistance and a buffer of stops won’t let the bulls higher easily. Partially, this is the reason for weak kiwi sentiments early on Wednesday. Apart from technical factors, electronic card retail sales came out worse than expected (4.0%m/m, 0.0%y/y against forecasted 7.6%m/m and 1.3%y/y), which added fuel to the bearish fire. Kiwi might be vulnerable during the day ahead of FOM minutes, though the bears need to break below 0.8750/45 to get a better chance for a sustained downside.
What price levels and patterns have to be considered?
Spot is presently trading at 0.8786, and next resistance can be seen at 0.8788 (Daily Open), 0.8788 (Monthly High), 0.8788 (Weekly High), 0.8788 (Annual High) and 0.8788 (YTD High).
Support below can be found at 0.8785 (Hourly 20 EMA), 0.8784 (Weekly Classic R1), 0.8780 (Daily Low), 0.8778 (Daily Classic PP) and 0.8761 (Hourly 200 SMA).
Regarding candlestick formations, we can see Doji formation on the 1-hour .