FX.co ★ NZDUSD continues making higher highs but also new bearish divergencies.

NZDUSD has climbed to 0.6980. Price is out of the bullish channel but continues to make higher highs and higher lows. At current price levels as explained in previous posts we prefer to be neutral if not bearish as we expect a turn lower towards 0.68.

Red line- bearish divergence

Green line - support trend line

Black lines -Fibonacci retracements

NZDUSD has short-term support at 0.6920-0.6925. A break below this level will be a short-term bearish signal that could bring price to 0.6840. The first important Fibonacci level we expect to be seen is around 0.6840. Nulls remain in control of the trend as long as price remains above the green trend line.