Overview:
Since our last analysis, the EUR/NZD pair has been trading upwards,as we expected, the price tested the level of 1.6328 on average volume. As you can see in the chart, after the selling climatic action at 1.6270, EUR/NZD started upward movement. Currently, we can observe volume leveling off at the price of 1.6246 which is a sign that selling at this stage looks risky. The first upper station FR 38.2 % at 1.6335 has been almost met and our FR 61.8 % at 1.6400 is still waiting.We can also observe demand in the background which is another sign that selling looks risky. In case that the price continues with downward movement, we may see the testing of previous swing low at 1.6220. Do not forget EUR/NZD is in short- and mid-term bullish trend and selling EUR/NZD at this stage looks very risky, so watch for buyingopportunities and try to catch bullish continuation phase.
Daily pivot Fibonacci points:
Resistance levels:
R1: 1.6323
R2: 1.6344
R3: 1.6378
Support levels:
S1: 1.6254
S2 : 1.6233
S3: 1.6198
Trading recommendation: Be careful with selling the EUR/NZD pair,watch for buying opportunities and try to catch bullish continuation phase.
