Will the NZDUSD drop at 0.6912?
The NZDUSD stabilized close to the 0.6912 zone, Fibonacci’s 261.8%, where the sellers will likely place pressures to take control of the price.
The price, since the 14th of December 2016, has been mostly oscillating bearish between the range of 0.7260 and 0.6912 respectively.
Probable Scenario
The latest formation and stabilization above the 0.6912 level is a good indication that the sellers may take control over the pair in today’s trading session.
In the event where the pair drops and the sellers take over, the price could decline to 0.6711 Fibonacci’s 423.6%.
The Stochastic oscillator’s main and signal lines have approached the 60 zone signaling that the price has greater probabilities to decelerate.
Alternative Scenario
Alternatively, in the scenario where the bulls are able to place greater pressures and the pair resumes above the 0.7036 area Fibonacci’s 161.8%, the price could rise to 0.7160 Fibonacci’s 61.8%.
Today’s Major Announcements
- There are no any releases on the New Zealand dollar
- The Markit PMI Composite (Dec) and the Markit Services PMI (Dec) announcements will likely have a medium impact on the U.S. dollar
Synopsis
· Probable trend (Bearish): 0.6912
· Bearish take profit target: 0.6711
· Stop loss target: 0.7036
· Alternative trend (Bullish): 0.7036
· Bullish take profit target: 0.7160
