FX.co ★ EUR/NZD analysis for October 03, 2014

Overview:

Our last analysis, EUR/NZD has been trading sideways around the price of 1.6090. I have placed Fibonacci retracement from the most recent swings and I got Fibonacci retracement 61.8% at the price of 1.6000 (currently on the test). If the price breaks the level of 1.6000 in an high volume, we may see potetntial testing the level of 1.5900 (swing high like support). Be careful when buying and watch for potential selling opportunities after retracement. According to the 4H time frame, we can observe very weak demand, which is sign that buying looks risky. Anyway, if see larger reaction from buyers in an high volume, bullish continuation phase will be possible.

Daily Fibonacci pivot levels : 

Resistance levels: 

R1: 1.6186

R2: 1.6247

R3: 1.6346

Support levels: 

S1: 1.5988

S2: 1.5927

S3: 1.5828

Trading recommendations: Be careful when buying the EUR/NZD pair since we can observe bearish corrective phase