Saturday, July 14, 2018

I Expect A NZD/USD Rally

At the end of the trading week the pair was in the zone around 0.6780 – 0.67220 and the Friday session closed at 0.6757.

0.68 – 0.67 is historical for the pair as one can see on the monthly time frame and I think that without a little deeper correction the pair would have difficulty breaking out below it.

At the beginning of next week I expect the pair to test the last low in the zone around 0.6700 – 0.6685 and to begin a rally, the first target of which should be 0.6800 – 0.6820, I think.

If the pair breaks out above 0.6800 – 0.6820 we could expect a move north to 0.6900 – 0.6920.
The alternative scenario is for a depreciation to 0.6400 – 0.6200.