FxWirePro: NZD/USD finds stiff resistance at 0.6932 (200W SMA), decisive break above required for further gains

NZD/USD chart - Trading View 

• NZD/USD is trading marginally higher on the day, at 0.6886 at 0335 GMT.
   
• The pair has largely ignored a 'long-legged Doji' formed on Thursday's candle and is extending grind higher.
   
• A renewed risk-aversion wave amid latest US-North Korea issue and China's temporary anti-dumping measures on some products from the European Union keep upside limited.
   
• Technical studies for the pair are biased higher. RSI above 60 with further room to run.
   
• Price action has bounced off support at daily cloud and 20-DMA and is holding above 5-DMA.
   
• Upside finds immediate resistance at 0.6915 (trendline) and major resistance at 200W SMA at 0.6932.
   
• Breakout at 0.6932 will see gains till 61.8% Fib at 0.7050. On the flipside break below 20-DMA will see dip till 200-DMA.
   
• Focus now on US macro news due later today, including Markit manufacturing and services PMI reports, existing home sales and wholesale inventories, for fresh trading impetus. 

Support levels - 0.6871 (5-DMA), 0.6834 (20-DMA), 0.6817 (55-EMA), 0.6738 (200-DMA)

Resistance levels - 0.6915 (trendline), 0.6932 (200W SMA), 0.6969 (Dec 4 high), 0.7050 (61.8% Fib)

Call update: Our previous call (https://www.econotimes.com/FxWirePro-NZD-USD-consolidates-above-daily-cloud-stay-long-above-06870-1512789) has hit TP1. 

Recommendation: Watchout for break above 200W SMA for upside continuation.

For details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.