Source: PaxForex Premium Analytics Portal, Technical Insight

The NZD/USD pair rose on Monday and remains bullish today amid increasing demand for risk assets. Earlier New Zealand released credit card lending data for June, reflecting a 9.2% YoY contraction against -24.7% forecast. The dollar is also under pressure from optimism about the coronavirus vaccine and news about the creation of the EU economic recovery fund.

NZD/USD, 30 min

Pivot: 0.6645

Analysis:

Provided that the currency pair is traded above 0.6620 follow the recommendations below:

• Time frame: 30 min
• Recommendation: long position
• Entry point: 0.6620
• Take Profit 1: 0.6678
• Take Profit 2: 0.6693

Alternative scenario: 

In case of breakdown of the level 0.6620 follow the recommendations below:

• Time frame: 30 min
• Recommendation: short position
• Entry point: 0.6620
• Take Profit 1: 0.6594
• Take Profit 2: 0.6579

Comment:

RSI is above 50. MACD is positive and below its signal line. The pair can recover. Moreover, the pair is above its 20 and 50 moving averages (by 0.6642 and 0.6617 respectively).

Key levels:

NZD/USD, D1

Pivot: 0.6584

Analysis:

While the price is above 0.6416, follow the recommendations below:

• Time frame: D1
• Recommendation: long position
• Entry point: 0.6584
• Take Profit 1: 0.6800
• Take Profit 2: 0.6906

Alternative scenario:

If the level 0.6416 is broken-down, follow the recommendations below.

• Time frame: D1
• Recommendation: short position
• Entry point: 0.6416
• Take Profit 1: 0.6240
• Take Profit 2: 0.6135

Comment:

RSI is above the neutral area by 50. The MACD is below the signal line and is positive. The pair can recover. Moreover, the pair is above its 20 and 50 moving averages (by 0.6519 and 0.6388 respectively).

Key levels:

We also advise you to pay attention to the following currency pairs for intra-day trading:

AUD/USD – buy above 0.7105 with 0.7150 and 0.7180 as Take Profit targets. Alternative scenario - if the level of 0.7105 is broken-down , you should consider selling with the targets 0.7080 and 0.7060 as Take Profit.
USD/CAD - short positions below 1.3475 with 1.3420 and 1.3400 targets as Take Profit. Alternative scenario - if the level of 1.3475 is broken-out, buy with the targets 1.35500 and 1.3520 as Take Profit.
EUR/USD – buy above 1.1515 with 1.1555 and 1.1580 as Take Profit targets. Alternative scenario - if the level 1.1515 is broken-down, you should consider selling with the targets 1.1495 and 1.1470 as Take Profit.