NZD USD begins positively – Analysis - 22/05/2015

The NZDUSD pair opens today’s trading with clear bullish bias to move above 0.7330 level, as it is testing the EMA50 now that forms intraday resistance barrier, noticing that stochastic enters the overbought areas, which might put negative pressure that pushes the price to decline again.

Now, we prefer staying aside in order to monitor the price behavior and get a clearer confirmation signal for the next trend, which we will get through breaching one of the key levels represented by 0.7250 support and 0.7440 resistance, noting that breaking the mentioned support will put the price under the main negative pressure again, while its next target located at 0.6860, while breaching the resistance will push the price to achieve gains that start at 0.7700 and extend to 0.7905.

Expected trading range for today is between 0.7250 support and 0.7500 resistance.

Expected trend for today: Neutral