Overview:
Since our previous analysis, the EUR/NZD pair has been trading upwards, the price tested the level of 1.5957 on average volume. According to the daily chart, we can observe weak demand on volume below the average, which is a sign that we may see more downward movement before the stronger buying reaction. The price is now testing the level of 1.5940 (Fibonacci retracement 38.2%). If the price breaks that level of 1.5940 on higher volume, we may see potential testing the level of 1.6050 (Fibonacci retracement 61.8%). Price rejected from our Fibonacci expansion 161.8% level at the price of 1.5810 and that caused price to start bullish correction. Watch for selling opportunities after retracement..
Daily pivot Fibonacci points:
Resistance levels:
R1: 1.5899
R2: 1.5930
R3: 1.5980
Support levels:
S1: 1.5799
S2 : 1.5768
S3: 1.5718
Trading recommendation: Be careful with buying the EUR/NZD and watch for selling opportunities after retracement.
