FxWirePro: NZD/CAD extends sideways along 55-EMA support, stay short on break below

NZD/CAD chart on Trading View used for analysis

• NZD/CAD extends range trade at 55-EMA support.
   
• Positive news related to the US-China trade war alongside China's announcement of more stimulus measures coming from the banking sector support antipodeans.
   
• Back-to-back spinning top formations suggest lack of direction. 
   
• Price action has slipped below 21-EMA support and bearish divergence on RSI and Stochs keeps bearish bias.
   
• Upside lacks traction, doji formation seen on daily candle. Immediate resistance lies at 5-DMA. Break above to see minor upside.
   
• Break below 55-EMA to see dip till next bear target at 200-DMA at 0.89. Violation there will see test of 61.8% Fib at 0.8678.

Support levels - 0.8988 (55-EMA), 0.89 (converged 200-DMA and 38.2% Fib), 0.8789 (50% Fib), 0.8678 (61.8% Fib)

Resistance levels - 0.9048 (5-DMA), 0.9087 (21-EMA), 0.92, 0.9256 (Dec high)