Commodity Currencies Weekly Technicals 04 September 2013

NZD/USD – Daily Chart

Is still expected to fall through the .7700/.7664 support zone in the next few of weeks

NZD/USD tumbled from its.8164 August high to .7721 last week. This was marginally above the major.7700/.7664 support area which is made up of the three month and 2011-13 support lines and several daily lows seen since June. This support area is expected to eventually give way.

Once fallen through, our medium term downside target zone, made up of the .7456/.7371 May 2012 low and November 2011 low, will be in focus. It will remain our downside target for the months to come but will only be properly back on the map once the June low at .7683 has been fallen through.

Minor resistance above the 55 day moving average at .7881 and the 50% retracement at .7923 comes in around the 38.2% Fibonacci retracement at .7980.
More significant resistance can be seen at the July and August highs at .8107/64. While trading below the latter, our medium term bearish view will be maintained.
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