Forex Trading: NZDUSD Technical Analysis – January 08, 2020

It’s great to see in the graph below that the New Zealand Dollar (NZD) has taken the step to move forward and hence with the green candle label, it has appreciated against the US Dollar today. This illuminated the hope that it would soon resume its position of rising. The price rises to more than 0.6600. This was attributable to the big’s declaration of the major economic release. With regard to the technical bias, it might remain bullish due to a lower high wave printed on the graph in the last downside move.

NZDUSD: Technical Analysis

As of now, the NZDUSD is being traded at the price of 0.6649, the levels of resistance that may create hurdle in the path of forwarding direction can be observed in the graph below, at 0.6750, the price may experience its first trendline resistance, a little far, it may get another trendline resistance of 0.6816, and then the major horizontal resistance comes at 0.6937.

NZDUSD

On the downside, the price gets the support at different levels that will take the price forward and also help it stick it to this level by working as the shield on it. At 0.6560, the price has the major horizontal support, and soon after it, there is a Fibonacci level of 0.6484, and then at the 0.6435, it also receives the trend line support.

The U.S. Factory orders

From the Fundamental point of view, the US announcement on the Factory orders put its impact on today NZDSD, as it fell to-0.7 percent from 0.2 percent this month, as a measure of total orders for durable and non-sustainable goods, it can provide insight into inflation and growth in the manufacturing sector. As a low reading for the USD is considered negative (or bearish).

Trade Idea

Today’s NZDUSD index sheds light on growth hence there is the capacity in the NZD currency has been found, to improve over time against USD, so short- and long-term traders may not hesitate to invest.

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