23, September 2016

NZD/USD (a 4-hour chart)

General Overview

The New Zealand dollar strengthened on the back of the RBNZ decision to keep the rate on hold. However, the Reserve Bank of New Zealand left the door open for November rate cut.

Current situation

The pair maintained its bullish trend. The price grew in the Asian session, the pair set a new weekly high at 0.7370. The NZD/USD decreased during the European hours on Thursday. The price traded above the 50, 100 and 200 EMAs which are pointing higher. The 50 and 100 EMAs provide a strong support for the price. The resistance is at 0.7320, the support comes in at 0.7250.

MACD is in the positive area. MACD grew which indicates the buyers’ strength. RSI is approaching overbought area.

Trading recommendations

The price may continue its uptrend. The level 0.7400 is the first buyers’ target. A decline below 0.7320 could indicate a start of a reversal in the uptrend.