Overview:
Since our previous analysis, the EUR/NZD pair has been trading upwards, as we expected, the price tested and rejected from the the level of 1.6101 on the volume below the average. According to the daily chart, we can observe demand bar on the volume just above the average, which is a sign that selling at this stage looks risky. As we already wrote in the previous analysis, EUR/NZD is in short- and mid-term bearish trend so watch for selling opportunities after retracement. Major down station may be the price of 1.5765. Our Fibonacci retracement 61.8% at the price of 1.6040 is on the test. If the price breaks that area and finish above on the daily chart, we may see more upward movement before any larger supply. Buying looks risky, so watch for selling opportunities after retracement. Any larger supply on higher volume may confirm further bearish movement.
Daily pivot Fibonacci points:
Resistance levels:
R1: 1.6002
R2: 1.6039
R3: 1.6100
Support levels:
S1: 1.5881
S2 : 1.5844
S3: 1.5784
Trading recommendation: Be careful with buying the EUR/NZD and watch for selling opportunities after retracement.
