FX.co ★ Technical analysis of NZD/JPY for July 31, 2014

 Technical outlook and chart setups:

1. The NZD/JPY pair is seen to be broken below the line of support (which is resistance now), last week. The pair has settled around 86.50/60 levels for now and is preparing to rally (corrective one), towards 88.00/50.

2. Support is seen at 86.50 (interim), followed by 85.90 and lower while resistance is seen at 88.50 followed by 89.50 respectively.

3. The structure indicates that NZD/JPY could be sold on rallies through the back side of the trend line at around 88.50. Aggressive traders can go long now, with strict stop loss.

Trading recommendations:

Look to sell on rallies towards 88.00/50 levels.

Good luck!