NZD/USD Rally Fails at Early Month Breakdown Level
Chart Prepared by Jamie Saettele, CMT
-The last update noted that “NZD/USD has wiped out last week’s decline and is currently testing the former support (in effect the breakdown area) at .7204/35. A reaction lower here wouldn’t surprise. The 10/4 high (bearish outside day) at .7310 is viewed as the invalidation level for swing shorts. Today’s reaction is what you want to see if you’re bearish against .7310 but the impulsive nature of the advance from the 10/13 low suggests that the broader trend is still higher.
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