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.

NZDUSD Technical Strategy: BEARISH

  • NZD recovery falters at chart resistance, prices sink back to late-May low
  • Break of immediate support exposes 2018 low, resistance just below 0.66
  • Long-term direction change may be triggered on 17-year trendline break

See our free trading guide to help build confidence in your NZDUSD trading strategy!

The New Zealand Dollar lost upside momentum against its US counterpart upon testing a dense resistance bloc running upward through 0.6727, as expected. The currency has now erased all of the upswing from late-May lows and rests atop familiar support in the 0.6476-0.6501 area.

Breaking below this boundary on a daily closing basis initially opens the door for a challenge of the October 8 swing bottom at 0.6425. Immediate resistance is in the 0.6575-91 zone, with a reversal back above that putting the lower bound of the 0.6727-topped resistance bloc at 0.6653 back in the spotlight.

NZDUSD price chart - daily

Zooming out to the monthly chart reveals NZDUSD sellers to be threatening much more than just the latest swing low. The pair appears to be sitting squarely atop 17-year rising trend support. A breakdown here would mark a tectonic shift in the underlying directional bias, setting the stage for lasting weakness to come.

NZDUSD price chart - monthly

NZDUSD TRADING RESOURCES:

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

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