FX.co ★ Analysis of EUR/NZD for December 10, 2014

Overview:

In our last analysis, EUR/NZD was trading downwards. As we expected, the price tested the level of 1.6026 in an average volume. Our Fibonacci expansion 100% at the price of 1.6145 held successfully, and it made price start with downward movement. I placed Fibonacci retracement to find potential support level and I got Fibonacci retracement 38.2% at the price of 1.5960 and Fibonacci retracement 61.8% at the price of 1.5840. According to the 4H time frame, we can observe lack of demand around the price of 1.6150. So, be careful when buying and watch for potential selling opportunities. Any larger supply may confirm a further bearish phase.

Daily Fibonacci pivot levels:

Resistance levels:

R1: 1.6150

R2: 1.6180

R3: 1.6230

Support levels:

S1: 1.6051

S2: 1.6021

S3: 1.5971

Trading recommendations: Be careful when buying the EUR/NZD pair since we got rejection from our resistance level in the background.