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 1.5846 on volume above the average. According to the daily chart, we can observe supply on volume above the average, which is a sign that we may see more downward movement before the larger buying reaction. We may see possible testing of the level of 1.5630 (major Fibonacci expansion 100%.) Be careful with short-term buying at this stage since the price broke our support zone. Watch for selling opportunities after retracement.There is always a chance for smaller bullish correction but the global direction is bearish.
Daily pivot Fibonacci points:
Resistance levels:
R1: 1.6110
R2: 1.6142
R3: 1.6194
Support levels:
S1: 1.6007
S2 : 1.5975
S3: 1.5924
Trading recommendation: Be careful with buying the EUR/NZD and watch for selling opportunities after retracement.
