FX.co ★ EUR/NZD analysis for January 27, 2014

Overview:

Since our last analysis, the EUR/NZD pair has been trading upwards, as we expected, the price tested the level of 1.6685 on high volume. Currently, we can observe demand on the market and selling looks very risky. The price has reached our target level at 1.6690, and our next upper station is 1.6800 (Fibonacci Expansion 61.8 %), but just in case that the price breaks the level of 1.6700 (FR 61.8 %). Do not forget EUR/NZD is in short- and mid-term bullish trend and selling EUR/NZD at this stage looks very risky, so watch for buying opportunities on the dips and try to catch bullish continuation phase.

Daily pivot Fibonacci points:

Resistance levels:

R1: 1.6680

R2: 1.6733

R3: 1.6819

Support levels:

S1: 1.6507

S2 : 1.6454

S3: 1.6367

Trading recommendation: Be careful with selling the EUR/NZD pair,watch for buying opportunities and try to catch bullish continuation phase.