Overview:
NZD/USD is trading sideways supported by Kiwi demand on NZD/JPY amid weak yen and positive risk sentiment as well as Kiwi demand on soft AUD/NZD. But NZD/USD upside movement is limited by weaker commodity prices and narrowing NZD/USD yield advantage. Daily chart is mixed as MACD is in bearish mode, but stochastics is rising from oversold.
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 0.8115 in mind. A breach of this target will move the pair further downwards to 0.808. The pivot point stands at 0.8195. In case the price moves in the opposite direction, it will bounce back from support and move above its pivot point. 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 0.824 and the second target at 0.8285.
Resistance levels:
0.824
0.8285
0.8315
Support levels:
0.8115
0.808
0.804
