In our previous analysis on NZDUSD we noted that trend has not changed yet as long as price is still inside the bullish channel. We also mentioned that aggressive traders could try long positions when price was at 0.7120 because price was still inside the channel and the trend change level and stop level for bulls was very close, thus low risk trade.
Price is now at 0.7170 and is bouncing off the lower channel boundary. Today's low at 0.71 is key support. Price holds inside the bullish channel and bulls try to reclaim short-term trend. Bulls need to hold price above 0.71 and continue pushing higher. The RSI is turning upwards from oversold levels. It is too soon to tell if this is just a bounce or if price will continue higher, but as long as 0.71 holds bulls still have chances of success.
