FxWirePro: NZD/USD finds strong support at 0.6972, stay short on decisive break below

• USD demand picks up pace after Powell’s comments, pushing NZD/USD lower.
   
• Fed Chair Jerome Powell said that the Fed's action should not surprise market as it is reasonably well aligned with 'dot-plot'.
   
• The pair saw a retrace from 0.7030 levels and has fallen below the 0.70 handle.
   
• Technical studies are biased lower. RSI below 30 and MACD well below zero levels.
   
• The major finds strong support at 0.6972 (trendline), decisive break below will see further weakness.
   
• Upside remains capped at 61.8% Fib, break above will see test of 21-EMA at 0.7117.

Support levels - 0.6972 (trendline), 0.6925 (78.6% Fib), 0.69

Resistance levels - 0.70, 0.7033 (61.8% Fib), 0.71, 0.7118 (21-EMA)

Recommendation: Good to go short on break below 0.6972, SL: 0.7035, TP: 0.6925/ 0.69/ 0.6860.

FxWirePro Currency Strength Index: FxWirePro's Hourly NZD Spot Index was at -74.2635 (Neutral), while Hourly USD Spot Index was at 145.16 (Bullish) at 0745 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex. 

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