The New Zealand Dollar suffered losses against the US Dollar during the first half of Tuesday’s trading session. The currency pair even broke out of the ascending channel pattern to the downside. As a result of the break out, the pair fell down until it found support in the 200-hour SMA, which was located at the 0.7460 mark.
It is highly possible that until the end of the day’s trading the pair will approach the resistance of the weekly PP, which is located at the 0.7492 level.
Moreover, the weekly pivot point is strengthened by the 55 and 100-hour simple moving averages at 0.7498 level. Most likely after encountering the resistance cluster the currency pair will continue the decline. In addition, it can be expected that the rate will soon reveal a new descending pattern.
It is highly possible that until the end of the day’s trading the pair will approach the resistance of the weekly PP, which is located at the 0.7492 level.
Moreover, the weekly pivot point is strengthened by the 55 and 100-hour simple moving averages at 0.7498 level. Most likely after encountering the resistance cluster the currency pair will continue the decline. In addition, it can be expected that the rate will soon reveal a new descending pattern.
交易结束：到达目标:
As it can be observed, the rate did hit the weekly PP. The resistance held its ground, and later forced the rate lower. It fell down to the weekly S1 in the matter of an hour. This is a classic example, when patience rewards one in a situation where the 90% of the move occurs in the last 10% of the waiting time.
As described, the New Zealand Dollar began its descent against the US Dollar down to the combined support of the weekly S1 and monthly PP after breaking out of the medium term ascending channel. On its path the currency pair crossed the support of the 200-hour SMA. The passing of the support level resulted in a massive drop of the pair to the next support level.
By the middle of Wednesday’s trading session it could be observed that the currency pair has passed the just described support level near the 0.7425 mark. However, a drop of the rate did not occur. Due to that reason the high levels of late July were connected and a parallel channel line assigned to one of the most recent hourly lows. As a result the support line of a possible channel down pattern was discovered.