Overview:
Since our previous analysis, the EUR/NZD pair has been trading downwards, the price has broken our support zone at the level of 1.6085 and tested the level of 1.5996 on average volume. According to the daily chart, we can observe supply on average volume, which is a sign that we may see more downward movement before the larger buying reaction. If the price breaks the level of 1.6015 on high volume, we may see possible testing the level of 1.5915 (Major Fibonacci retracement 61.8%) Be careful with buying at this stage since the price broke our support zone. Watch for selling opportunities after retracement, if the price breaks the level of 1.6015. Anyway, if the level of 1.6015 (submajor Fibonacci expansion 100% )can hold, we may see possible bullish reaction.
Daily pivot Fibonacci points:
Resistance levels:
R1: 1.6181
R2: 1.6211
R3: 1.6260
Support levels:
S1: 1.6083
S2 : 1.6053
S3: 1.6004
Trading recommendation: Be careful with buying the EUR/NZD and watch for selling opportunities after retracements., if the price breaks the level of 1.6015.
