NZD/USD: Weekly Technical Levels for July 30 -- August 3, 2012

Weekly Technical Levels:

Tip (s):

• R3 and S3 are considered as clear indicators of the maximum range of extreme volatility, although it is possible to pass them through.

• Pivot lines work well on the sideways markets, as prices will probably be located between the R1 and S1 lines.

• Within a strong trend the price is expected to be lower than the pivot point line and is going to continue the movement.

• If the news released affect the market, the price is likely to go straight through R1 or S1 and even reach R2 & R3 or S2 & S3.

Observation (s): If the trend is of an upside character, then the strength of the currency will be defined as following: NZD is an uptrend and USD is a downtrend. Most of the traders use the Fibonacci retracement to determine accurately the psychological support and resistance levels.

If you have any questions or requests, please feel free to contact me: mourad.elkeddani@analytics.instaforex.com.