Credit Suisse FX Technical Strategy Research notes that NZD/USD recent rally is likely due for a short-term correction against the strong resistance of the core bull trend at the .7376/.7404 area.
If a cap is found into this area, CS expects the pair to form a small top below .7253 to target .7198 initially, then the measured objective from the top and 38.2% retracement of the recent rally at .7160/45.
“We would expect the latter to try and hold at first. Removal of .7145 can see a deeper fall to test the 55- and 200-day averages at .7100/.7096, and potentially lower to the 50% retracement at .7082, where we see a firmer floor,” CS adds.
Source: Credit Suisse Global Fixed Income Research
The article is published by one of the foremost sources of Forex trading information. Link to the original article above.
from Online Forex Trading Resource
View thesource article here