Since March, the EUR/NZD has been moving within the descending channel , clearly showing the bearish trend . But since November, there were at least two rejections off the middle trendline of the descending channel , potentially signaling the incoming upside correction. At the same time, the RSI oscillator formed a bullish divergence , yet again confirming a high probability of an upside move. Based on Fibonacci, applied to the last upside correction, it can be seen that 161.8% Fib support at 1.7090 has been acting as a strong supply/ demand level , with multiple rejections off it. The most recent price action shows that it has acted as the support, which was rejected cleanly. Perhaps it is the beginning of a stronger move north, which might take place in the medium term. Therefore, as long as the price remains above the recently produced lower low at 1.6940, EUR/NZD should be expected to rise. The key resistance could be located at 1.7660, which is almost 500 pips away from the current price. This level is confirmed by 61.8% retracement level and goes inline with the 200 Simple Moving Average . Also, it corresponds to the previously forme supply/demand area as well as the breakout point of the 50 EMA and 200 SMA . Key support levels: 1.7090, 1.6940 Key resistance levels: 1.7350, 1.7660 Thanks for your support! If you liked this analysis, please support our profile with a 👍 and follow us to get a new daily analysis . Disclaimer: The analysis presented in this article is for educational purposes only and should not be considered as financial advice.



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