The EURNZD cross has pulled back to its 62% Fibonacci Retracement level of the previous April-August rally.
Last week’s multiple outside bar reversal pattern to the high of 1.6490 could potentially suggests that the next leg up to new highs above 1.9201 is underway.
The reversal not only reversed closed to its 62%FR but also found support at its 200-day SMA.
Yes, it is definitely too early to confirm that the longer term uptrend is now already underway but we expect at least more upside, probably back up to test the 1.7000 psychological levels could be on the cards here in the immediate term.
As long as the 1.5810 low is not breached, any weakness could be seen as a chance to go long. (Read Report)
Source : CIMB Research