NZD/USD: bears are coming (July 3)
By Felipe Erazo
NZD/USD remains above the support level of 0.8762, which is located 23.6 Fibo level, so this pair has been strong in the bullish trend. However, remember that the NZD/USD found strong resistance at the level of 0.8793, so it is very likely that this pair fall to the support level of 0.8712, which coincides with the 61.8 Fibo level.
On the other hand, if the pair manages to hold above the 200 EMA (Green line), it is likely to rise to the level of 0.8793 and there the NZD/USD could make a breakout with the formation of a lower high pattern. The CCI indicator is pointing to a fall, which reinforces our bearish outlook in the NZD/USD.
Trading recommendations: We recommend to stay out at the moment from trading this pair, because although the NZD/USD is above the 200 EMA, this pair is showing patterns that indicate a bearish bias is coming soon to the NZD/USD.
Chart. H1 NZD/USD