FX.co ★ NZD/USD. Around the Secondary Trend Line (Daily Signal), December 02, 2010

NZD/USD

The New Zealand dollar - United States dollar pair meets the secondary trend line that had followed its positive trend since May. This line serves as a meaningful support level. Therefore, the change in the economic atmosphere combined with the technical picture on the pair form an interesting buy opportunity on the existing price levels.

It is best to place the exit goal for the buy position near the major resistance level of 0.7750. That said, it is best to pay attention to the possibility of a renewal of the negative mood on the financial markets, which would lead to a wave of downwards movements in the New Zealand dollar - United States dollar pair as well. As such, a breach of the trend line will serve as an entry trigger for a sell deal with a realization goal set around the level of 0.7000 United States dollars for one New Zealand dollar.