Skip to content
News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.



Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events


Economic Calendar

Economic Calendar Events

Free Trading Guides
Please try again
More View more
NZD/USD Technical Analysis: Support Below 0.68 in Focus

NZD/USD Technical Analysis: Support Below 0.68 in Focus

Ilya Spivak, Head Strategist, APAC

To receive Ilya's analysis directly via email, please SIGN UP HERE

Talking Points:

  • NZD/USD Technical Strategy: Flat
  • Kiwi Dollar may be forming a double top below 0.71 vs. US counterpart
  • Looking for greater confirmation of reversal to re-enter short position

The New Zealand Dollar turned sharply lower after re-testing resistance below the 0.76 figure, putting in the largest daily decline in eight months. Positioning suggests that a bearish Double Top chart pattern may be emerging, pointing to deeper losses against the Kiwi’s US counterpart.

Near-term support is at 0.6784, the 38.2% Fibonacci retracement, with a break below that on a daily closing basis opening the door for a test of the 50% level at 0.6701. Alternatively, a reversal above support-turned-resistance at 0.6924 paves the way for a challenge of the 0.7054-77 area (April 19 high, 38.2% Fib expansion).

Recent attempts to enter short NZD/USD in similar territory have met with limited success, with seesawing price action and lackluster follow-through ultimately producing flat results. With that in mind, a more convincing setup – perhaps with confirmation on a break of 0.6784 – will be sought to re-enter the trade.

What does our 2016 forecast envision for NZD/USD? Find out here !

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.