FX.co ★ EUR/NZD analysis for June 09, 2014

Overview:

Since our previous analysis, the EUR/NZD pair has been trading sideways, around the price of 1.6000, we are still waiting larger volume and larger movement. As you can see in the graph, the price rebounded from our Fibonacci expansion 100% at the level of 1.6170, as we expected and that caused price to start with downward movement. According to the 1H timeframe, we can observe strong supply on volume above the average, which is good sign for potential bearish movement. Buying at this stage still looks very risky since we have got supply on high volume. We got support level at the price of 1.5920 (Fibonacci retracement 61.8%). I have also placed Fibonacci expansion levels to find potential down stations and I got Fibonacci expansion 61.8% at the price of 1.5870.

Daily pivot Fibonacci points:

Resistance levels:

R1: 1.6092

R2: 1.6125

R3: 1.6177

Support levels:

S1: 1.5987

S2: 1.5954

S3: 1.5901

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