FX.co ★ EUR/NZD analysis for June 10, 2014

Overview:

Since our previous analysis, the EUR/NZD pair has been trading downwards, as we expected, the price tested the level of 1.5896 on volume above the average. According to the 4H timeframe, we can observe strong supply on volume above the average, which is a good sign for potential bearish movement. Buying at this stage still looks very risky since we have got supply on high volume. Our first support level at the price of 1.5920 is broken and we may see possible testing the level of 1.5870 (Fibonacci expansion 61.8%).

Daily pivot Fibonacci points:

Resistance levels:

R1: 1.6043

R2: 1.6061

R3: 1.6092

Support levels:

S1: 1.5982

S2: 1.5964

S3: 1.5934

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