NZDUSD Analysis 22.11.2018

The New Zealand dollar fell during the Asian session to see its rebound for the third session in five sessions of its highest since June 26, 2018, against the US dollar following developments and economic data that followed the New Zealand economy and amid the lack of economic data Thursday by the US economy because of the Thanksgiving holiday.

At 02:58 GMT, the New Zealand dollar was down 0.20% at 0.6820 compared with the opening levels at 0.6834, the pair's highest at 0.6814.

We have followed the New Zealand economy with the seasonally adjusted Net Migrants Index, which showed a rise of 4.0%, or 4,660 people, against 1.9%, or 4,630 people, in September. Compared to a rise of 0.8% in September, while the annual reading of the same index showed a slowdown in growth to 6.3% versus 7.8%.

Technical analysis:

The NZDUSD made a positive trading session yesterday, but did not reach the previously breached bullish channel to bounce back significantly and start testing the pivotal support 0.6795, noting that the price is drawing a double top pattern shown in the image, which means that a break of 0.6795 - 0.6780 will stimulate price on the delivery of negative trades over the short and short term.

Therefore, the bearish bias will be likely in the coming sessions unless the 0.6850 level is breached and stability above it, noting that our awaited targets start at 0.6700 then 0.6654.

The trading range for today is among the key support at 0.6720 and resistance at 0.6850.

Support and resistance:

Support: 0.6800-0.6720;

Resistance: 0.3880-0.6972.