Overview:
Since our last analysis the EUR/NZD pair tested and rejected from level 1.6365, and also tested double upper diagonals, we may expect future down movement. On the daily chart we got two climatic bars (ultra high volume bar) which is strong sign that EUR/NZD is in overbought zone, so we may expect future down and starting of larger corrective phase on EUR/NZD. On the (4H) chart I calculated previous up legs and i got that first up leg has 22 000 of total volume and second leg has 12 800 of total volume which is decreasing of about 41 %. Selling EUR/NZD around area 1.6270 looks very attractive and my advice is to look for selling opportunities with potential down targets at price 1.6200 and 1.6050. Levels 1.6200 and 1.6050 are previous supply levels and we may expect testing of these levels.
Daily pivot Fibonacci points:
Resistance levels:
R1 : 1.6365
R2 : 1.6428
R3 : 1.6528
Support levels:
S1 : 1.6165
S2 : 1.6102
S3 : 1.6002
Trading recommendation: Be careful with short-term buying and look for selling opportunities. I recommend 1.6200 and 1.6050 for down targets.
