Overview:
- Movements of the NZD/USD pair were controversial as they took place in a narrow sideways channel; the market showed signs of instability. Amid the previous events, the price is still moving between the levels of 0.7169 and 0.7125. Also, it should be noted that the double top is seen at the price of 0.7169. Hence, the daily resistance and support are seen at the levels of 0.7169 and 0.7125, respectively. Currently, the price is in a bullish channel because yesterday the market came off its bottom at 0.7125 and continued to rise towards the top of 0.7169. Accordingly, the market is likely to show signs of a bullish trend. In other words, buy orders are recommended above 0.7125 with the first target at the level of 0.7169. If the trend breaks the double top at the level of 0.7169, then the market will continue rising towards the weekly resistance 2 at 0.7210. On the other hand, if the NZD/USD pair fails to break through the resistance level of 0.7169, the market will decline further to 0.7090. The pair is expected to drop lower towards at least 0.7066 with a view to test the weekly support.
