FX.co ★ EUR/NZD: analysis for December 10, 2013

Overview:

Since our last analysis, the EUR/NZD pair has been trading sideways. Around the price of 1.6541, we are still waiting for further bullish movement and the testing of 1.7000. Since our FR 38.2% has held, the level of 1.6480 is the possible end of the bearish corrective phase. I have placed Fibonacci expansion levels to find potential upper station and I got FE 61.8% at 1.7000 like the first possible station. According to the 4H chart, we have got large selling climax at 1.6500, which was, in my opinion, panic selling, so we may expect bullish movement. Anyway, if price breaks previous low area at 1.6440, we may see the testing of 1.6355 (FE 100 %), before we continue with bullish momentum. Since we are in the uptrend, according to the daily chart, my advice is to watch for buying opportunities.

Daily pivot Fibonacci points:

Resistance levels:

R1: 1.6611

R2: 1.6645

R3: 1.6700

Support levels:

S1: 1.6502

S2: 1.6468

S3: 1.6414

Trading recommendation: Be careful with selling EUR/NZD and watch for buying opportunities.