Binary NZD/USD options broke successfully above the psychological resistance around 0.8100, which coincides with 61.8% Fibonacci retracement of the 0.8471-0.7456 drop. On the upside, the next key target level is seen at 0.8300, before the eleven-month top at 0.8471. The overall picture seems neutral after the pair managed to recover the sharp drop from May. Binary investors could witness downside corrections in the coming days considering Stochastic and RSI oscillators overbought levels. However, the 50-day EMA is currently passing above the 200-day SMA which gives additional support to the recent positive trend. On downside, the strong support is expected at the previous resistance around 0.8100. A break below it, is expected to meet the next support near 0.7845, which coincides with the 38.2% fibo of the mentioned drop.
On one-hour chart the kiwi receives strong resistance at 0.82 and could easily drop back to 0.8160. A break below 0.8150 should be used as a signal for further decrease towards 0.8065. On the opposite direction, above the psychological 0.82, binary investors should expect resistance at 0.8240.
Disclaimer:
The information in this analysis is collected from different sources and should serve for informative purposes only. The author shall not be held responsible for the validity of the presented information. No part of this analysis recommends the purchase or sale of a currency pair or any other financial instrument.
