Technical analysis of NZD/USD for March 15, 2017

NZD/USD is expected to trade in the higher range as the bias remains bullish. Although the pair retreated from 0.6940 (the high of March 14), the pair is trading above the key support at 0.6915, which should limit the downside potential. In addition, the 20-period moving average crossed above the 50-period one, which indicated a positive signal. The relative strength index has just landed on its neutrality level at 50 and is turning up.

To sum up, as long as 0.6915 holds on the downside, look for a further rise to 0.6965. A break above this level would call for a new advance to 0.6995.

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 0.6965 and the second one at 0.6995. In the alternative scenario, short positions are recommended with the first target at 0.6885 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 0.6860. The pivot point is at 0.6915.

Resistance levels: 0.6965, 0.6995, and 0.7035

Support levels: 0.68885, 0.6860, and 0.6830

The material has been provided by InstaForex Company – www.instaforex.com

Source:: Technical analysis of NZD/USD for March 15, 2017