NZD/USD is expected to trade with bullish bias. The pair is posting a strong technical rebound after hitting its key support level at 0.6290. Both intraday 20- and 50-period MAs are turning up, and it should confirm a positive outlook. Furthermore, the momentum indicator RSI is bouncing off its neutrality level at 50. In this case, as long as 0.6260 is not broken, expect a new up move to 0.6380 and 0.6400.
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 0.6380 and the second target at 0.64. In the alternative scenario, short positions are recommended with the first target at 0.6260 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 0.6235. The pivot point is at 0.6290.
Resistance levels: 0.6380 0.64 00 0.6475
Support levels: 0.6260 0.6235 0.6200
The material has been provided by InstaForex Company – www.instaforex.com