NZD/USD meets the weekly R1

The NZD/USD continued the monthly appreciation and the new trading week started with a gap to the upside. The US Dollar has been losing its value versus the New Zealand Dollar for a third consecutive week. The appreciation started once the pair met April 2010 high at 0.718 which triggered such a bullish momentum. The next resistance level is situated at 50% Fibonacci at 0.753 and a break above should open the way to weekly R2 at 0.759.

The market becomes more hesitant on whether to buy the pair since only 39% currently are being long. On the other hand, 53% of all would buy the pair if the prices changes for 50– pips. The 100– pip pending orders are majorly bearish for 74% of the case.