NZD/USD Price Analysis: Teases inverse head-and-shoulder breakout above 0.7200

NZD/USD bulls catch a breather around the intraday top.
China data, risk-on mood favor buyers to confirm the bullish chart pattern.
Pre-NFP trading lulls battles sustained trading above 200-SMA to confuse traders.

Anil Panchal FXStreet

Having recently jumped to 0.7244, NZD/USD eases to 0.7238 while flirting with the neckline of a short-term head-and-shoulders bullish pattern during early Friday.

China’s upbeat Caixin Services PMI recently added extra strength into the pair’s trading beyond 200-SMA, which in turn joins upbeat Momentum on the 30-minutes chart to keep buyers hopeful.

Read: China's Caixin Services PMI rises to 56.3 in April, AUD/USD nears 0.7800

However, a clear upside break of 0.7245 becomes necessary for the NZD/USD bulls before aiming at the theoretical target of 0.7375. During the run-up, April’s top near 0.7290 and March’s top near 0.7310 may offer intermediate halts.

Meanwhile, pullback moves could revisit the 0.7200 round-figure but the 200-SMA level of 0.7186 may challenge any further weakness.

Should NZD/USD prices slip below 0.7200, the monthly low around 0.7115 will be in the spotlight.

NZD/USD 30-minute chart

Trend: Bullish

Additional important levels

Overview
Today last price	0.724
Today Daily Change	7 pips
Today Daily Change %	0.10%
Today daily open	0.7233

Trends
Daily SMA20	0.7171
Daily SMA50	0.7139
Daily SMA100	0.7164
Daily SMA200	0.6953

Levels
Previous Daily High	0.724
Previous Daily Low	0.7184
Previous Weekly High	0.7287
Previous Weekly Low	0.715
Previous Monthly High	0.7287
Previous Monthly Low	0.6945
Daily Fibonacci 38.2%	0.7219
Daily Fibonacci 61.8%	0.7205
Daily Pivot Point S1	0.7198
Daily Pivot Point S2	0.7163
Daily Pivot Point S3	0.7142
Daily Pivot Point R1	0.7254
Daily Pivot Point R2	0.7275
Daily Pivot Point R3	0.731

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

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