NZD/USD Forecast for the Week of June 4, 2012, Technical Analysis

The NZD/USD pair is currently sitting on serious support. The 0.75 level is the main support over the last four months, and it is currently being tested. The fall lately has been brutal, and it looks as if this is a “sell only” pair at this point. The rallies at this point will be looked at with suspicion as there are simply far too many potential negative headlines out there to push the value of “risky assets” lower. If the 0.75 level gives way on a weekly close, we are selling this pair aggressively. The breaking of the top of the last two weeks would be a massive reversal signal that would have us buying for a short-term trade, perhaps two weeks at best. However, once we get a bit higher, the risks of a failure intensifies. 

NZD/USD Forecast for the Week of June 4, 2012, Technical Analysis
NZD/USD Forecast for the Week of June 4, 2012, Technical Analysis

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