FX.co ★ EUR/NZD analysis for July 27, 2016

Recently, EUR/NZD has been moving downwards. As I expected, the price tested the level of 1.5526 in a high volume. According to the 4H time frame, I found weakness in the background and broken upward channel, which is a sign that buying looks risky. I also found a supply trendline, which held successfully (a strong pin bar). My advice is to watch for selling opportunities. I placed Fibonacci to find potential downward targets. I got Fibonacci retracement 50% at the price of 1.5475 and Fibonacci retracement 61.8% at the price of 1.5390.

Fibonacci Pivot Points:

Resistance levels:

R1: 1.5685

R2: 1.5730

R3: 1.5805

Support levels:

S1: 1.5535

S2: 1.5485

S3: 1.5410

Trading recommendations for today: Be careful when buying and watch for selling opportunities.