NZD/USD Weekly Technical Report 14-18/1/2013

The pair stabilized above Linear Regression Indicators in addition to trading within the ascending channel offsetting the negativity on Stochastic. Trading above 0.8355 levels will force us to  hold on to our positive expectations but without excluding heavy volatility and maybe bearish corrections from time to time due to the negative signal on Stochastic as mentioned.

The trading range for this week might be among key support at 0.8280 and key resistance at 0.8675.

The general trend over short term basis is to the upside with steady daily closing above 0.8130 targeting 0.8845.

Support 0.8400 0.8385 0.8355 0.8310 0.8280

Resistance 0.8470 0.8500 0.8515 0.8565 0.8610

Recommendation Based on the charts and explanations above, our opinion is buying the pair above 0.8400 targeting 0.8470, 0.8515 then 0.8610 and stop-loss with four-hour closing below 0.8310 might be appropriate this week