100 and 200 hour MAs at 0.6549 and 0.6555
The NZDUSD is trading in a narrow trading range for the day, but the corrective highs have remained mostly below the 100 and 200 hour moving averages at 0.6549 and 0.6555 respectively.
There were some small peeks above the 100 hour MA (blue line), but they did not go very far on the breaks. On the topside, the 200 hour moving average (green line) and downward sloping trendline connecting the last 2 days highs, are at the same level increasing the levels resistance importance. It would take a move above to tilt the bias more to the upside today.
For the week, the high was reached on Monday at 0.65929. That high was below last week’s high at 0.65996 (call it 0.6600). The subsequent highs for the week were progressively lower. Bearish.
The low for the week was reached on Tuesday at 0.6502 (call it 0.6500).
Overall the range for the week was about 91 pips. That’s not a lot but last week’s range was even lower at 83 pips.. Over the last 12 days, the range has only been a been around 102 pips, with a floor at 0.6498 to 0.6502 and a ceiling at 0.65929 to 0.6600. Now that is really not a lot of a range for over 2 weeks of trading.
The pair is likely to end the week still in the up and down range. The bias is tilted to the downside below the 100 and 200 hour MA and trend lines. The highs have been lower this week.
On the downside, get below the 38.2% of the move up from the June 30 low at 0.65174 is another step in the bearish direction. From there, traders would look toward the floor at 0.6498-0.6502 as the next obvious key target.