20, June 2016

NZD/USD (a 4-hour chart)

NZD/USD (a 4-hour chart)

General overview

The pair NZD/USD found a support due to an increase in risk appetite. The pair NZD/USD was in the flat on Friday after testing the previous high at 0.7150.

Current situation

The pair was in a flat on Friday. The NZD/USD remained between 0.7030 and 0.7070. The pair is under pressure. The resistance is at 0.7050, the support is at 0.6950.

MACD is in the positive area, it is close to the centerline. The indicator decreased. If the histogram returns into the negative area it will show a sell signal. The indicator RSI is neutral. The NZD/USD is above the Moving Averages (50, 100 and 200) on the 4 hour chart. The Moving Averages are moving upwards. The 50-SMA is a support where the pair can pivot upwards.

Trading recommendations

The overall outlook remained bullish. However the pair NZD/USD is overbought. If it consolidates below 0.7050 the decrease will be continued to 0.6950-0.6900.