Technical Update – NZDUSD, USDJPY and USDCAD

NZDUSD

In otherwise a directionless move, the pair continues to grind higher within a short-term ascending trend-channel formation on 1-hourly chart. However, it continues to find difficulty in decisively clearing 0.6830-40 immediate hurdle, also coinciding with 200-day SMA. Should the pair manage to conquer this immediate hurdle and move above 200-day SMA for the first time since August 2014, it is likely to accelerate its up-move immediately towards 0.7000 psychological mark resistance before heading further towards its next major resistance near 0.7150-60 zone. Meanwhile, weakness below 0.6800 round figure mark is likely to be supported by the lower trend-line of the descending channel, currently near 0.6760-50 area. Decisive drop below 0.6750 support region, seems to drag the pair back towards 100-day SMA support, currently near 0.6660-50 zone, which if broken might negate the near-term bullish outlook for the pair.

USDJPY

On 1-hourly chart, the pair clearly seems to be oscillate within a short-term descending trend-channel. Hence, weakness below 120.40 level is likely to drag the pair towards testing the very important psychological mark support near 120.00 level, also coinciding with the lower trend-line support of the channel. A decisive break below the descending trend-channel support now seems to open room for continuation of the pair’s near-term downward trajectory towards 118.90-80 support, which could further get extended till 118.40-30 important support. On the upside, immediate resistance is pegged at the upper trend-line of the channel, currently near 120.65-70 region. Strength above this immediate resistance is likely to lift the pair beyond 121.00 mark resistance towards its previous strong support now turned major resistance near 121.35-40 region.

USDCAD

Following its reversal from near-term over-bought conditions, the pair managed to hold and rebound from an ascending trend-line resistance break-point now turned immediate strong support near 1.3800 mark. From current levels, a move above 1.3900 mark is likely to be followed by an additional boost towards 1.3950-60 resistance, beyond which the pair could witness a fresh leg of up-move. Above 1.3950-60 resistance, the pair is likely to surpass 1.4000 psychological mark and extend its up-move towards 100% Fib. expansion level resistance near 1.4150-60 area. With daily RSI still reading above 70, reversal from 1.3900 mark resistance might drag the pair back towards 1.3800 mark resistance turned support area. Weakness below 1.3800 mark support is likely to extend the pair’s near-term corrective move back towards retesting 61.8% Fib. expansion level resistance break-point turned support near 1.3650 level.

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