FX.co ★ EUR/NZD analysis for May 15, 2014

Overview:

Since our previous analysis, the EUR/NZD pair has been trading downwards, as we expected, the price tested the level of 1.5744 on volume above the average according to the daily chart. We can observe bullish reaction on high volume from our major support level at the the price of 1.5765, which is a sign that we may smaller bullish reaction. The price tested our third support level at 1.5765 and if the price breaks that level on higher volume, we may see testing the level of 1.5625 (Major Fibonacci expansion 100%). Be careful with short-term buying since EUR/NZD is in short-term downtrend and watch for selling opportunities. Resistance level is at the price of 1.5865 (previous swing low).

Daily pivot Fibonacci points:

Resistance levels:

R1: 1.5881

R2: 1.5905

R3: 1.5944

Support levels:

S1: 1.5804

S2 : 1.5780

S3: 1.5742

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