2016-09-13 14:48:40

Review and dynamics
The pair NZD/USD, as well as the other currency pairs with the USD grew yesterday after the comments of the US Fed representatives about low chances of the interest rate increase in the USA in September.

The pair NZD/USD has rebounded from support level of 0.7290 (ЕМА144 and the lower limit of the ascending channel on 4-hour chart and ЕМА144 on the weekly chart). NZD/USD remains in the ascending channel on the weekly chart and last week tied to break down resistance level of 0.7380 (ЕМА200 on the weekly chart).

The upper limit of the ascending channel on the weekly chart is close to the level of 0.7550 (Fibonacci 50.0%). Strong support levels are 0.7290 (ЕМА144 on the weekly chart) and 0.7240 (Fibonacci 38.2% to the decrease in pair from the level of 0.8800, which started in July 2014 andЕМА144 on the monthly chart).

Our opinion
If the pair breaks out resistance level of 0.7380, the pair is likely further to rise to the resistance level of 0.7550 (Fibonacci 50.0%), which will indicate the completion of the downward correction and resumption of the upward trend.

However, this can be possible only in case of positive fundamental factors (unchanged rates of the interest rates in the USA and New Zealand, the rise in commodity prices, including dairy products, strong macro-economic data from New Zealand and weak US statistics).

If monetary policies of the US Fed and RBNZ, will be different, the pair NZD/USD can rise above the highs of this month at the level of the 0.7485.

On H4, daily and weekly charts the indicators OsMA and Stochastic give signals for short positions, on the monthly chart the indicator give signals to buy.

In case of breakout of the support level of 0.7240, the pair may decline to the level of 0.7000 (ЕМА200 on the daily chart and the lower line of the ascending channel on the weekly chart). Breakdown of the level of 0.6860 (Fibonacci 23.6%) may terminate the uptrend.

Support levels: 0.7290, 0.7240, 0.7200, 0.7115, 0.7085, 0.7050, 0.6975, 0.6930, 0.6900 and 0.6860.
Resistance levels: 0.7380, 0.7420 and 0.7550.

Trading tips

Sell Stop: 0.7280. Stop-Loss: 0.7340. Take-Profit: 0.7240, 0.7115, 0.7100, 0.7085, 0.6975, 0.6900 and 0.6860.
Buy Stop: 0.7350. Stop-Loss: 0.7280. Take-Profit: 0.7380, 0.7420, 0.7500 and 0.7550.

In the ascending channel
In the ascending channel

Support level of 0.7290
Support level of 0.7290