NZD/USD: Strong technical resistance near .8180
If you’re a die-hard USD bull then maybe NZD/USD might give you some joy. The close above .8060 was undoubtedly short-term bullish but there is very healthy resistance in the form of a trend-line and a 50% retracement at .8180 (see chart). Of course the trend-line/61.8% is one of my favourite signals but this one is usually fairly useful as well.
AUD/NZD has been on a rip-roaring bear move but you would be very brave to bet against some sort of a retracement back towards 1.1600 and this may also give the NZD/USD a bit of downward pressure.
As you know, buying USD ain’t my side at the moment but it takes all sorts to make a market 🙂