FX.co ★ NZD/USD is dropping nicely, remain bearish

The price continues to drop nicely from our selling area as expected and is seeing a nice bearish reaction below 0.7065 resistance (Fibonacci retracement, Fibonacci extension) where we expect a drop to at least 0.6968 support (Fibonacci retracement, recent swing low support). We can see that the price has made a bearish exit in a similar fashion to Stochastic which gives us stronger conviction of a drop from here.

Stochastic (21,5,3) sees major resistance at 95% and has bearish divergence versus the price which signals a strong drop is impending. It has also made a reaction off its bearish pullback with good downside potential.

Sell below 0.7065. Stop loss is at 0.7113. Take profit is at 0.6968.