In the beginning of this week, the NZD/USD pair is falling.
A growth in the pair was supported by fall in demand for the US Dollar after a number of publications of weak macroeconomic statistics from the US as well as the September FOMC Minutes.
At the same time, the NZD is nearing its correction as this week oil prices fell. In addition, September FOMC Minutes were not a surprise for the markets and the USD could begin an upward correction in the near future.
Support and resistance
Bollinger Bands on the daily chart is growing, while the price range is widening. MACD is slowly turning but continue giving a buy signal. Stochastic is in eth overbought zone and trying to turn down.
The indicators recommend considering short positions.
Support levels: 0.6647, 0.6585 (минимум 8 October low), 0.6560, 0.6534, 0.6500, 0.6457.
Resistance levels: 0.6708 (local high), 0.6739 (12 October high), 0.6770, 0.6810 (1 July high), 0.6840.
Short positions can be opened after the breakdown of the level of 0.6680 with targets at 0.6620, 0.6600 and stop-loss at 0.6700. Validity – 1-2 days.
Long positions can be opened after the breakout of the level of 0.6700 with targets at 0.6760, 0.6800 and stop-loss at 0.6670. Validity – 1-3 days.