FxWirePro: NZD/USD hovers around 20-DMA at 0.7307, breakout to see further upside

• NZD/USD struggles to extend break above 20-DMA at 0.7307, break above will see further upside.
   
• The pair has edged lower from 2-weke highs at 0.7335, is trading around 0.7310, up 0.50 % at the time of writing.
   
• The major is extending upside for 4th consecutive session after bouncing off 55-EMA.
   
• Technical studies are turning slightly bullish. RSI and Stochs have turned north. We see +ve DMI crossover.
   
• Break above 20-DMA could see test of 0.7350 (Feb 6 high) and then 0.74 levels.
   
• The pair has retraced above 5-DMA which is currently immediate support at 0.7253.
   
• Rejection at 20-DMA will see test of strong support at 0.7186 (converged 38.2% Fib and 55-EMA). Violation at 0.7186 will see further weakness.

Support levels - 0.7263 (5-DMA), 0.7186 (converged 55-EMA & 38.2% Fib retrace of 0.6780 to 0.7435 rally), 0.7153 (200-DMA)

Resistance levels - 0.7307 (20-DMA), 0.7350 (Feb 6 high), 0.74, 0.7435 (trendline)

Recommendation: Good to go long on decisive break above 20-DMA, SL: 0.7250, TP: 0.7350/ 0.74/ 0.7435.

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