FX.co ★ EUR/NZD analysis for April 16, 2014

Overview:

Since our previous analysis, the EUR/NZD pair has been trading upwards, the price tested the level of 1.6117 on the volume just above the average. According to the daily chart (Tuesday bar), we can observe demand bar on the volume just above the average, which may be a sign for further bullish reaction. As we already wrote in the previous analysis, EUR/NZD is in short- and mid-term bearish trend, so watch for selling opportunities after retracement. I placed Fibonacci expansion levels and I have got Fibonacci expansion 61.8% at the price of 1.6090 (currently on the test) and Fibonacci expansion 100% at the price of 1.6245. Buying looks risky, so watch for selling opportunities after retracement. Any larger supply on higher volume may confirm further bearish movement. There is an also resistance at the price of 1.6175 (previous swing high).

Daily pivot Fibonacci points:

Resistance levels:

R1: 1.6009

R2: 1.6038

R3: 1.6085

Support levels:

S1: 1.5915

S2 : 1.5886

S3: 1.5839

Trading recommendation: Be careful with buying the EUR/NZD and watch for selling opportunities after retracement.