The New Zealand Dollar may be on the verge of resuming the down trend against its US counterpart. The appearance of a bearish Evening Star candlestick pattern coupled with negative RSI divergence signaled possible topping. Confirmation followed with a break of counter-trend line support.

NZD Technical Analysis-nzdusd-d1-alpari-international-limited-2.png


From here, the next layer of major support looks to be in the 0.6686-0.6716 area. A break below that confirmed on a daily closing basis exposes former support in the 0.6592-0.6619 zone. Resistance is at 0.6969, the December 4 high, followed by the June 6 peak at 0.7060.

more...