2 Jul 2013
Flash: NZD/USD, overall bearish risk not eliminated - JPMorgan
FXstreet.com (Barcelona) - While having shifted its trading context into a range, now operating between 0.77 and 0.7830, the overall bearish risks in the NZD/USD has not been eliminated, says Niall O'Connor, Currency Analyst at JP Morgan Securities.
In view of O'Connor, "this is in line with the bearish shift and violation of critical support levels for both AUD/USD and
NZD/USD over the past few weeks." For O'Connor, the important test for NZD/USD enters at the 0.7744/0.7630 support zone, "as this area represents the 76.4% retracement from the 2012 low and the trendline support from the 2011 low" O'Connor said.
A break lower, according to O'Connor, "would be a clear bearish development which would put 0.7456/0.7371 levels (2012/2011 lows) on the radar."
In view of O'Connor, "this is in line with the bearish shift and violation of critical support levels for both AUD/USD and
NZD/USD over the past few weeks." For O'Connor, the important test for NZD/USD enters at the 0.7744/0.7630 support zone, "as this area represents the 76.4% retracement from the 2012 low and the trendline support from the 2011 low" O'Connor said.
A break lower, according to O'Connor, "would be a clear bearish development which would put 0.7456/0.7371 levels (2012/2011 lows) on the radar."