FX.co ★ EUR/NZD : analysis for August 07, 2015

Overview:

Recently, EUR/NZD has been moving downwards. The price tested the level of 1.6617. In the daily time frame, we can observe a weak supply bar in a volume below the average. The price rejected from our major resistance level (1.6805). According to the H4 time frame, we can observe weakness in the background, which is a sign that buying looks risky at this stage. The short-term trend has changed from bullish to neutral. I found a strong trading range between the levels of 1.6805 and 1.6333. Watch for a potential breakout of our trading range to confirm further direction. The price has broke our upward trendline, which is a sign that sellers may start larger movement downward.

Fibonacci Pivot Points :

Resistance levels:

R1: 1.6730

R2: 1.6755

R3: 1.6796

Support levels:

S1: 1.6645

S2: 1.6625

S3: 1.6580

Trading recommendations: Wait for a breakout of the trading range to confirm further direction.