NZDUSD: Chart Setup Calls for Up Move
NZDUSD put in a bullish Piercing Line candlestick pattern above support at 0.8084,the 38.2%Fibonacci retracement, hinting a move higher is ahead. Positive RSI divergence bolsters the case for an upside scenario. However, with prices so close to near-term resistance in the 0.8232-0.8241 area (marked by the 23.6% Fib and October 28 swing high), risk/reward considerations argue against entering long at current levels.
--- Written by Ilya Spivak, Currency Strategist for Dailyfx.com
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