NZD/JPY Trade Idea

• Major support: 79.60
   
• NZD is trading weak in this New Year week on account of weaker than expected manufacturing data out of China which has weighed heavily on commodity currencies and global stock market.
   
• The world global diary index fell 1.6% compared to gain of 1.9% in previous auction which also dragged the NZD further down.
   
• The pair has broken major support 79.60 and declined till 78.37. It is currently trading around 78.39.
   
• Short term trend is still weak as long as resistance 80 holds. Any break above 80 will take the pair to new level 80.85/81.45 level.
   
• The minor resistance is around 78.85/79.60.
   
• On the lower side major support is around 78 and any break below targets 75/72.

It is good to sell on rallies around 79 with SL around 80 for the TP of 76  

R1-78.85

 R2-79.60

R3-80.25

Support

S1-78

S2- 75

S3-72