NZD/USD is expected to continue its upside movement. The pair broke above the 20-period and 50-period moving averages with strong upward momentum. In addition, the 20-period moving average has crossed above the 50-period one.
Hence, as long as 0.6950 is not broken, expect a further upside to 0.7020 and even to 0.7040 in extension.
The pair is trading above its pivot point. It is likely to trade in a wider range as long as it remains above its pivot point. Therefore, long positions are recommended with the first target at 0.7020 and the second one at 0.7040. In the alternative scenario, short positions are recommended with the first target at 0.6930, if the price moves below its pivot points. A break of this target may push the pair further downwards, and one may expect the second target at 0.6910. The pivot point is at 0.6950.
Resistance levels: 0.7020, 0.7040, and 0.7080
Support levels: 0.6930, 0.6910, and 0.6885
