Technical analysis of NZD/USD for August 03, 2016
The NZD/USD pair rose from the level of 0.7039 towards 0.7242 this week. Now, the current price is seen at the level of 0.9910. On the H1 chart, the resistance is seen at the levels of 0.7242 and 0.7324. Besides, the weekly support 1 is seen at the level of 0.7039. Today, the NZD/USD pair is continuing to move in a bullish trend from the support level of 0.7039, to form a bullish channel. Amid the previous events, we expect the pair to move between 0.7039 and 0.7324. Therefore, buy above the level of 0.7039 with the first target at 0.7242 in order to test the daily resistance 1 and further to 0.7324 (double top).
Overall, the daily pivot is seen at the level of 0.7038. The market is still in an uptrend from the the level of 0.7038, for that we still prefer the bullish scenario.
On the other hand, if the pair fails to pass through the level of 0.7138, the market will indicate a bearish opportunity below the level of 0.7138. The market will decline further to 0.7039 in order to return to the double bottom. Additionally, a breakout of that target will move the pair further downwards to 0.6951.