FX.co ★ Technical analysis of NZD/USD for July 28, 2015

Overview:

• The NZD/USD pair opened below the monthly pivot point at the level of 0.6660. Therefore, the market will probably indicate a bearish opportunity at the level of 0.6660 and the monthly pivot point will act as strong resistance on July 18, 2015. So, according to the previous events, the price is still trading between the levels of 0.6700 and 0.6521. The area below 0.6700 (below the monthly pivot point) calls for further move downside with the first target at 0.6575 in order to test the weekly support 1 and continue towards 0.6490 (the double bottom). However, stop loss should be placed above the last bullish wave at the level of 0.6772.

Trading recommendations:

• The NZD/USD pair will probably go down because the downward trend is still strong. Then, it is recommended to sell during the correction and open short positions below 0.6700 with targets at 0.6575 and 0.6490.