NZD/USD indecisive on Monday

Source: Dukascopy Bank SA

Positions Today Yesterday % Change
Longs 65% 67% -3.08%
Shorts 35% 33% 5.71%
Indicator 4H 1D 1W
MACD (12; 26; 9) Sell Sell Sell
RSI (14) Neutral Buy Neutral
Stochastic (5; 3; 3) Sell Neutral Neutral
Alligator (13; 8; 5) Sell Sell Sell
SAR (0.02; 0.2) Buy Sell Sell
Aggregate

Even though the Kiwi has maintained its general movement southwards, downward pressure seems to have allayed, thus paving a way for a minor appreciation on Friday. This slight recovery was nevertheless stopped by the 55– and 100-hour SMAs. 

Technical indicators flash mixed signals; thus, two possible scenarios for the upcoming 24 hours should be examined. The New Zealand Dollar might continue edging lower down to the monthly S3 or the weekly S1 at 0.6807 and 0.6785, respectively. The bottom boundary of the channel is unlikely to be breached in this scenario. 

Conversely, upside risks might prevail in the market and consequently push the rate pass the 100-hour SMA and towards the combined resistance of the weekly PP and the bottom boundary of the channel breached on October 24 circa 0.69.

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