'Bearish Cypher' pattern evidenced on NZD/USD daily charts.
The pair was rejected at major trendline resistance at 0.7375 on Tuesday's trade.
Price action has slipped below 5-DMA, close below will add to bearish bias.
Technical indicators are bearish. RSI is biased south, Stochs are showing a rollover from overbought zone.
MACD is on the verge of a bearish crossover on signal line, which if materialises will add further downside confirmation.
Support levels - 0.7254 (23.6% Fib retrace of 0.68621 to 0.73754 rally), 0.7234 (20-DMA), 0.72, 0.7179 (38.2% Fib)
Resistance levels - 0.7302 (5-DMA), 0.7350 (Jan 31 high), 0.7375 (trendline & Feb 7 high)
TIME TREND INDEX OB/OS INDEX
1H Bearish Neutral
4H Neutral Neutral
1D Neutral Neutral
1W Bullish Neutral
Recommendation: Good to go short on close below 5-DMA at 0.73, SL: 0.7375, TP: 0.7250/ 0.72/ 0.7180
FxWirePro Currency Strength Index: FxWirePro's Hourly NZD Spot Index was at 22.9009(Neutral), while Hourly USD Spot Index was at 54.6389 (Bullish) at 0630 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
