FX.co ★ EUR/NZD analysis for May 22, 2015

Overview:

Recently, EUR/NZD has been trading downwards. The price tested the level of 1.5037 in an ultra high volume (selling climax). The short-term trend is neutral. According to the daily time frame, supply is in a volume below the average. According to the 30-minute time frame, I found strong trading range between the price of 1.5040 and 1.5260. Be careful when buying. I placed Fibonacci expansion to find potential bearish targets and got Fibonacci expansion 61.8% at the price of 1.5070 (on the test), Fibonacci expansion 100% at the price of 1.4940 and Fibonacci expansion 161.8% at the price of 1.4725. Anyway, I am waiting for a clear break and strong volume to confirm futher direction.

Fibonacci Pivot Points:

Resistance levels:

R1: 1.5245

R2: 1.5285

R3: 1.5345

Support levels:

S1: 1.5120

S2: 1.5080

S3: 1.5020

Trading recommendations: Be careful when buying EUR/NZD at this stage since we can observe strong bearish activity (volume). Anyway, we need to see strong breakout to confirm further direction.