NZD/USD is expected to trade with a bullish bias. The pair reversed up yesterday, and now it stands firmly above its nearest support of 0.6795. The intraday 20- and 50-period intraday MAs are moving upwards calling for further advance. Moreover, the RSI is above its neutrality area around 50. In this case, as long as 0.6760 is not broken, the pair is likely to challenge 0.6865 (October 20 top) first. I case of a breakout, watch for a new bounce to 0.6900.
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. As long as the price holds above its pivot point, long positions are recommended with the first target at 0.6865 and the second target at 0.69. In the alternative scenario, short positions are recommended with the first target at 0.6735 if the price moves below its pivot points. A break of this target is likely to push the pair further downwards, and one may expect the second target at 0.67. The pivot point is at 0.6760.
Resistance levels: 0.6865 0.69 0.6925 Support levels: 0.6735 0.67 0.6650
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