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.

Free Trading Guides
Please try again

Live Webinar Events


Economic Calendar Events


Notify me about

Live Webinar Events
Economic Calendar Events






More View More
NZD/USD Technical Analysis: Kiwi Nearing Three-Week Low

NZD/USD Technical Analysis: Kiwi Nearing Three-Week Low

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

Talking Points:

  • NZD/USD Technical Strategy: Short at 0.7205
  • Kiwi Dollar sinks to near-three week low vs. US cousin
  • Short position activated as prices test above 0.72 figure

The New Zealand Dollar turned downward against its US cousin as expected retesting trend line support-turned-resistance set from January 2016. The move followed a dovish RBNZ monetary policy announcement, as our fundamental outlook suggested might be the case.

From here, a daily close below the 38.2% Fibonacci expansion at 0.7138 opens the door for a challenge of the 50% level at 0.7064. Alternatively, a reversal back above the 0.7229-39 area (23.6% Fib, December 14 high) paves the way for a retest of trend line resistance, now at 0.7356.

An intraday uptick above the 0.72 figure offered window to enter short with acceptable risk/reward parameters and the trade has been activated at 0.7205. A stop-loss will be triggered on a daily close above 0.7239. Profit on half of the position will be booked and the stop-loss trailed to breakeven if prices hit 0.7138.

Where will NZD/USD go next? Join a Trading Q&A webinar and ask us live!

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