NZD/USD bulls need critical support cluster to hold

Steven Mylonas Bottomcatcher.com

NZD/USD currency pair approaches inflection zone at (1).

A bout of heavy selling pressure last week saw the NZD/USD currency pair give up it's September gains and is now flirting with the August lows. From a technical standpoint, the currency pair is inches away from testing a likely inflection zone (1) and triple support level which comes in at 6432.8 located at the surface of the zone.

Having convincingly breached the multi-year descending trend line, back in mid-July, the pair has managed to create higher swing highs on the higher time frames, whilst short term support levels have failed to hold, which pretty much brings us to where we are now. For the short to mid-term outlook, the critical triple support cluster (6432.8) at (1) which comprises of where support and resistance trendlines junction along with the 50% fib level taken from the highs of April 2018 and the lows of March this year will function as a strong buy/sell signal for both the bulls and the bears, with a bias to the bullish side.

Author

Steven Mylonas

Bottomcatcher.com

With more than 20 years of experience, Steven has a broad knowledge of market strategies and the markets in general, with a strong focus and understanding of data reading.

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