Trades at lowest level since March 2016
The dovish RBNZ sent the NZDUSD tumbling lower and in the process, there has been some bearish breaks for the pair.
Looking at the weekly chart above, the price fell below a lower trend line at 0.6674. That will now be a risk level for shorts. Stay below is more bearish. The pair is currently testing the 61.8% retraceement of the move up from the 2015 low at 0.66364. The low reached 0.66367. The price is currently trading at the lows. Key test here. It may slow the fall as a result. Be aware.
Drilling down to the hourly chart, the breaks started way up at hte 0.6713-23 area. That was the home to a number of swing lows. The area was broken, there was a weak correction into the area that failed, and the selling was on. We trade at session lows.
Risk for shorts now?
Well the trend line at from the weekly comes in at 0.6674. Stay below is more bearish.
A closer level intraday would be the topside trend line and the 100 bar MA on the 5 minute chart. The price has gotten close to the MA line but stalled each time. A move above could lead to some shorts taking profit. The 200 bar MA comes in at 0.66703 - just below the 0.6674 level. That MA should stall corrective rallies now.
