NZD/CAD has been moving steadily downwards since the beginning of the year without showing signs of a reversal yet. The tendency is likely to continue, at least in the short term as the price clearly remains below the 200 Moving Average producing new lower lows and lower highs.
Applying the Fibonacci retracement to the first corrective wave after the 0.9040 support area breakout, it shows that the price broke below the 161.8% (S1), although tested neither 261.8% (S2) nor 361.8% (S3).
Consider selling NZD/CAD while the price is near R1 (0.8880), targeting either S2 (0.8740) or S3 (0.8650) as the final target. The stop loss should be just above 0.8900.
Support 0.8830, 0.8740, 0.8650
Resistance: 0.8880, 0.8980
