Since the end of December last year, NZD/USD remains in an uptrend. Volatility, although directional remains high, resulting in visible shadows in the daily candles. In recent days, however, we had to deal with first, so extensive correction of increases on kiwi. Is NZD/USD setting a local bottom?
For some time bears, which recently ruled on the NZD/USD, are increasingly challenged with maintaining their domination. The blame for this can incur 38.2 abolition of all growth impulse.
Around 0.7180 several times already was created a barrier which until now hasn’t been overcome by still active supply on the NZD/USD. In result we have a narrow formation of a zone of support, where the base is mentioned Fibonacci abolition.
Going to lower intervals we see a forming consolidation in the area of 0.7180/0.7220. It seems that the best strategy for the coming days will be closely watching the pair and react to breakout in any direction.
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More active speculators may try to buy the NZD/USD near the abolition of 38.2. Such a move maximizes relative risk exposure to potential losses.
