Technical Update For NZD/USD, AUD/NZD, NZD/CAD & NZD/CHF: 08.02.2018

NZD/USD

Notwithstanding the RBNZ’s dovish outcome, the NZDUSD is still left to close below the 0.7205–0.7195 horizontal-region, which if remains unbroken could trigger the pair’s U-turn towards 0.7235 and then to the 0.7280 nearby resistances. In case the pair manages to extend its recovery beyond 0.7280, the 0.7330, the 0.7380 and the 0.7400 are likely consecutive upside numbers that it should conquer in order to confront the 0.7430-35 resistance-line. Meanwhile, D1 break of 0.7195 could quickly fetch the quote to 200-day SMA level of 0.7140 prior to reigniting the importance of 0.7100 and the 0.7055 support-levels. During the pair’s additional weakness below 0.7055, the 0.7025, the 0.7000 and the 0.6970 might entertain the sellers.

AUD/NZD

Alike NZDUSD, the AUDNZD also struggles with 200-day SMA, which is around 1.0845 in this case. If the pair fails to surpass the 1.0845 on a daily closing basis, it can come back to 1.0745 and the 1.0700 ahead of pushing Bears to target 1.0660 and the 1.0640. However, the pair’s further downside might be challenged by the 1.0605–1.0595 area, which if cleared could drag prices to the 1.0530 and to the 1.0485. Given the pair prints a D1 close beyond 1.0845 and sustains the up-move then after, the 1.0910 and the 50-day SMA level of 1.0950 are expected immediate resistances to watch. Moreover, pair’s successful trading above 1.0950 enables it to claim the 1.1000 and the question the strength of three-month old descending TL figure of 1.1050.

NZD/CAD

Unless closing below more than two-month old ascending trend-channel support, at 0.9050, chances of the NZDCAD’s pullback to 200-day SMA level of 0.9120 can’t be denied. Also, if the pair keeps rising after 0.9120, it can very well run in direction to 0.9180 and then to the 0.9250 resistances but the channel’s upper-line, near 0.9330, may confine its additional north-run. On the downside, 0.9000 and the 50-day SMA level of 0.8965 could please the counter-trend traders while 0.8930 and the 0.8860 may challenge their outlook afterwards. Should the pair continue declining below 0.8860, the 0.8760, the 0.8730 and the 0.8700 needs to be observed closely.

NZD/CHF

Even after bouncing-off the 0.6775-80 support-zone, the NZDCHF’s latest recovery may find it hard to surpass a fortnight long descending trend-line resistance of 0.6870, which if broken could escalate the pair’s advances to 0.6900 and the 0.6920 numbers. If prices continue rising after 0.6920, the 0.6950, the 0.6970 and the 0.7000 might appear in buyers’ radar to target. Alternatively, 0.6800 and the 0.6780-75 can limit the pair’s nearby downside, clearing which 0.6750 and the 61.8% FE level of 0.6715, adjacent to 0.6700 round-figure, may become crucial.

Cheers and Safe Trading,
Anil Panchal