Overview:
NZD/USD is trading in a lower range. It is supported by Kiwi demand in the NZD/JPY cross amid positive investor risk appetite, Kiwi demand in retreating AUD/NZD cross, optimism over China's economic recovery. But NZD/USD upside is limited by improved dollar sentiment, positions adjustment before weekend. Daily chart is mixed as stochastics is bearish, but MACD is still in the bullish mode.
Trading recommendation:
The pair is trading below its pivot point. It is likely to trade in a lower range as far as it remains below its pivot point. A short position is recommended with the first target at 0.8235 in view; a breach of this target will move the pair further downwards to 0.8215. The pivot point stands at 0.8325. In case the price moves in the opposite direction, bounces back from support, and moves above its pivot point, then the price is most favorably expected to move further to the upside, In that scenario a long position is recommended with the first target at 0.9345 and the second target at 0.839.
Support levels:
0.8235
0.8215
0.8175
Resistance levels:
0.8345
0.839
0.8435
