FX.co ★ EUR/NZD : analysis for November 27, 2014

Overview:

In our last analysis, EUR/NZD has been trading downwards. The price tested the level of 1.5786 in an average volume. According to the 4H time frame, we can oberve weak supply, which is a sign that selling EUR/NZD at this stage looks risky. I have placed Fibonacci retracement to find potential support and I got Fibonacci retracement 61.8% at the price of 1.5780 (currently on the test). Be careful when selling and watch for potential buying opportunities after retracement (buy on the lows).

Daily Fibonacci pivot levels:

Resistance levels:

R1: 1.5951

R2: 1.5981

R3: 1.6029

Support levels:

S1: 1.5854

S2: 1.5824

S3: 1.5775

Trading recommendations: Be careful when selling EUR/NZD since we got a strong absorption volume in the background.