The technical picture for NZDUSD has been bullish since the pair rose from early 2016 lows of 0.6346 to the 0.73 area in August. The 50 and 200-day moving averages are giving a bullish signal and the RSI is in bullish territory above 50. The medium term picture shows the market was in a range between key psychological levels of 0.7000 and 0.7300.
Resistance at 0.7300 has been tested several times and today prices have broken above it again. Only a daily close above this level would indicate that the market is starting to move out of the medium term range to continue the uptrend.
If upside momentum is maintained and RSI keeps rising, then the market has a chance to attempt to make a new high and target the next resistance area around 0.7400. Immediate support is at 0.7150 (50-day moving average) and below this the 0.7000 level is major support. A drop below 0.7000 would start to change the overall bullish market structure and will weaken it.
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