NZD/USD: Bearish stance reinforced – Credit Suisse

The kiwi saw a sharp fall to resolve the range to the downside and complete a small ‘descending triangle top’, analysts at Credit Suisse inform.

Key quotes

“NZD/USD moved sharply lower on Wednesday, breaking below 0.5992 and thus resolving the recent tight range to the downside, completing a small ‘descending triangle top’ and negating the previous bullish ‘outside day’.”

“We expect further weakness to unfold, with support seen initially at 0.5968/59, before the lower end of the prior range and 38.2% retracement at 0.5922/06.” 

“Resistance is seen initially at 0.6005, then 0.6055, ahead of 0.6098.”