FX.co ★ EUR/NZD: Analysis for EURNZD 31, 2014

Overview:

Since our last analysis, the EUR/NZD pair has been trading upwards. Just as we expected, the price tested level of 1.6733 on high volume. We can observe that strong demand has entered the market at price 1.6613 which is good sign of bullish strength. I have placed Fibonacci levels to find next upper level and I got FE major 61.8% at price 1.6800. There is a chance that we may see smaller bearish correctionin reaction of very high volume but general direction is bullish. Do not forget that 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 the bullish continuationphase.

Daily pivot Fibonacci points:

Resistance levels:

R1: 1.6688

R2: 1.6722

R3: 1.6775

Support levels:

S1: 1.6582

S2 : 1.6548

S3: 1.6495

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