OvervieW:
NZD/USD is seen to trade with bearish bias undermined by positive dollar sentiment and reduced risk appetite. But NZD/USD losses are tempered by Kiwi demand on soft AUD/NZD cross and Kiwi demand on buoyant NZD/JPY cross amid weak yen sentiment. The daily chart is mixed as MACD is bearish, but stochastics turned bullish at oversold.
Trading recommendations:
The pair is trading above its pivot point. It is likely to trade in a higher range as far as it remains above its pivot point. As far as the price is above its pivot point, a long position is recommended with the first target at 0.822 and the second target at 0.826. In alternative scenario, if the price moves below its pivot point, short positions are recommended with the first target at 0.8125; the breach of this target will move the pair further downwards and one may expect the second target at 0.809. The pivot point stands at 0.8150.
Support levels:
0.8125
0.809
0.805
Resistance levels:
0.822
0.826
0.83
