FX.co ★ EUR/NZD analysis for January 28, 2014

Overview:

Since our last analysis, the EUR/NZD pair has been trading downwards the price tested the level of 1.6447 on lover volume volume. Currently, we are in progress of smaller bearish corrective phase. I placed Fibonacci levels to find potential end of bearish corrective phase and i got FR 61.8 % at price 1.6400, so we may see  testing of this level before we continue with major bullish movement.Once we finish bearish correctivep phase, we may expect testing of the previous swing high at price 1.6690. 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 Fibonaccipoints:

Resistance levels:

R1: 1.6667

R2: 1.6702

R3: 1.6759

Support levels:

S1: 1.6554

S2 : 1.6519

S3: 1.6463  

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