FX.co ★ NZD/USD testing major resistance, remain bearish

The price reversed right below our stop loss and is now at our entry once again. We remain bearish below the 0.6883 resistance (Fibonacci retracement, Fibonacci extension, horizontal pullback resistance) for a push down to the 0.6826 support (Fibonacci extension, horizontal swing low support).

Stochastic (34,5,3) is seeing resistance at 94% where it has turned down from with a great downside potential.

Correlation analysis: NZDUSD and AUDUSD are positively correlated meaning they usually move together in the same direction. We are expecting a drop on AUDUSD and a drop on NZDUSD so this goes very well in line with our correlation.

Sell below 0.6883. Stop loss at 0.6920. Take profit at 0.6826.