NZD/CAD breaks major supports, stay short for 0.93
NZD/CAD trades with a strong bearish bias, scope for test of 78.6% Fib at 0.9297.
The pair has broken below major trendline support at 0.95 levels last week.
Decisive break below major 200-DMA support at 0.9562 on Tuesday's trade has added to downside bias.
Momentum studies are heavily bearish, RSI extremely weak at 36 and biased lower.
MACD also support downtrend. However, stochs are at oversold levels, so some caution advised.
Weekly charts are also heavily bearish, with break below weekly 20-SMA at 0.9442.
Support levels - 0.9395 (61.8% Fib retrace of 0.9171 to 0.9758 rally), 0.9386 (cloud base), 0.9297 (78.6% Fib)
Resistance levels - 0.9449 (5-DMA), 0.9460 (200-DMA), 0.95
Good to go short on rallies around 0.94/ 0.9410 levels, SL: 0.9460, TP: 0.9325/ 0.93/ 0.92
The pair has broken below major trendline support at 0.95 levels last week.
Decisive break below major 200-DMA support at 0.9562 on Tuesday's trade has added to downside bias.
Momentum studies are heavily bearish, RSI extremely weak at 36 and biased lower.
MACD also support downtrend. However, stochs are at oversold levels, so some caution advised.
Weekly charts are also heavily bearish, with break below weekly 20-SMA at 0.9442.
Support levels - 0.9395 (61.8% Fib retrace of 0.9171 to 0.9758 rally), 0.9386 (cloud base), 0.9297 (78.6% Fib)
Resistance levels - 0.9449 (5-DMA), 0.9460 (200-DMA), 0.95
Good to go short on rallies around 0.94/ 0.9410 levels, SL: 0.9460, TP: 0.9325/ 0.93/ 0.92