Trade of the Day: EUR/NZD

By: Dima Chernovolov

EUR/NZD continues to fall toward the key support level 1,7691, which was recently identified by  Autochartist on the hourly charts. Autochartist rates the Significance of this support level at the 8-bar level – which is the result of the eight previous reversals from this price level. EUR/NZD is likely to fall to the support level 1.7691– in line with the earlier downward reversal from the key resistance area shown below.

As can be seen from the weekly EUR/NZD chart below – the pair earlier reversed down from the resistance area located between the long-term resistance level 1.7930 (which stopped the sharp uptrend in 2018 ) and the upper weekly Bollinger Band. The proximity of this resistance zone adds to the likelihood EUR/NZD will continue to fall toward the key support level 1,7691.