Never miss a story from Ilya Spivak

Subscribe to receive daily updates on publications
Please enter valid First Name
Please fill out this field.
Please enter valid Last Name
Please fill out this field.
Please enter valid email
Please fill out this field.
Please select a country

I’d like to receive information from DailyFX and IG about trading opportunities and their products and services via email.

Please fill out this field.

Your Forecast Is Headed to Your Inbox

But don't just read our analysis - put it to the rest. Your forecast comes with a free demo account from our provider, IG, so you can try out trading with zero risk.

Your demo is preloaded with £10,000 virtual funds, which you can use to trade over 10,000 live global markets.

We'll email you login details shortly.

Learn More about Your Demo

You are subscribed to Ilya Spivak

You can manage your subscriptions by following the link in the footer of each email you will receive

An error occurred submitting your form.
Please try again later.

NZD/USD Technical Strategy: FLAT

  • New Zealand Dollar poised to test above 0.68 after breaking resistance
  • Support now just below 0.67, reversal to see first major barrier at 0.65
  • Opting against long trade on US midterm election, RBNZ rate decision

See our free trading guide to help build confidence in your NZD/USD trading strategy!

The New Zealand Dollar looks poised to probe above the 0.68 figure against its US counterpart having bottomed above the 0.64 mark, as expected. A breach above resistance in the 0.6688-0.6726 area builds on last week’s break of downtrend resistance set from mid-April, exposing 0.6851 next.

Alternatively, a reversal back below 0.6688 – now recast as support – confirmed on a daily closing basis opens the door for a retest of minor resistance-turned-support in the 0.6592-0.6619 zone. This followed by a more substantive barrier at the 0.65 figure.

New Zealand Dollar vs US Dollar chart - daily

While the technical picture seems to suggest scope for further upside and risk/reward parameters on a long position seem acceptable, the proximity of heavy-duty event risk warns against taking the trade. US midterm elections may substantially alter the landscape and an RBNZ rate decision is on tap.

NZD/USD TRADING RESOURCES:

--- Written by Ilya Spivak, Currency Strategist for DailyFX.com

To contact Ilya, use the Comments section below or @IlyaSpivak on Twitter