NZD/JPY: Key Support Holds Amid Mixed Signals – Buy on Dips for a Rally to 89.20

NZDJPY declined sharply after a minor pullback above 88  on a weak New Zealand dollar. The intraday trend is bullish as long as support 87.20 holds. Having dipped to an intraday low of 87.41, it now trades at about 87.486.

Oscillators and moving averages to forecast the trend of NZDJPY

CMP- 87.51

EMA (4-hour chart)

55-EMA- 87.539

200-EMA- 87.322

365-EMA- 87.23. The pair trades below the short (55 EMA)  and above the long-term moving average.

Major support- 87.20. Any breach below will drag the pair down to 86.65/85.37/84.45/84.

Major resistance - 87.85. Any break above 87.85 confirms minor bullishness, a jump to 88.20/89/90.

Indicator (4-hour chart)

CCI (50)- bullish

Average directional movement Index- Neutral. All indicators confirm a mixed trend.

It is good to buy on dips around 87.48-50 with SL around 87 for TP of 89.20.