NZD/USD Technical Technique: NEUTRAL
New Zealand Greenback eyeing December excessive after Fed-inspired rally
Break upward opens the door for an advance above the Zero.70 determine
Affirmation, improved threat/reward sought earlier than coming into a commerce
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A New Zealand Greenback is poised to problem the December’s swing excessive at Zero.6969 after punching via resistance within the Zero.6849-84 space. The surge adopted seemingly dovish FOMC coverage announcement that weighed on the Dollar whereas boosting sentiment-geared belongings, together with the Kiwi unit.
From right here, a break above speedy resistance confirmed on a each day closing foundation opens the door for a take a look at of the June 2018 swing prime at Zero.7060. Alternatively, a flip again under Zero.6849 – now recast as help – units the stage for a retest of the Zero.6686-Zero.6713 zone.
Present positioning doesn’t appear to supply a compelling buying and selling alternative. On one hand, costs are too near speedy resistance to justify coming into lengthy from a threat/reward perspective. On the opposite, the absence of a bearish reversal sign hints taking over the brief aspect is untimely. Standing apart appears most prudent till a better-defined setup presents itself.
NZD/USD TRADING RESOURCES:
— Written by Ilya Spivak, Forex Strategist for DailyFX.com
To contact Ilya, use the Comments part under or @IlyaSpivak on Twitter