As part of the renewed increase dollar, the New Zealand dollar broke through the level 0.8635 and reached the upper limit of the channel. The price then slowed growth and consolidated to form a small "bear" with oblong candle lower shadow. The blue line on the graph denotes a 100- period simple moving average, built on the basis of the closing price (close). Red line marks the 50 - period moving average, built on the basis of the closing price (close). MACD indicator parameters are as follows: fast exponential moving average is 12, based on closing prices; slow exponential moving average is 26, based on closing prices, signaling a simple moving average is 9 based on closing prices. Location columns of MACD above the zero line indicate a positive trend indicator, and the location of the bars of the MACD indicator below the zero line indicates a negative trend indicator. Parameter is constructed on the basis of the closing prices of the RSI indicator is 14. Area overbought RSI indicator is determined by the intersection of the line of the indicator above 70 and oversold RSI indicator zone defined by the intersection line of the indicator below 30. For better detect the trend in the RSI indicator is level 50. Stochastic indicator parameters (Stochastic Oscillator) as follows: the period is 5% K, period % D - 3, the period of deceleration - 3. Stochastic indicator constructed by simple moving average based on the average price (Low/High). Stochastic indicator overbought zone determined by the intersection line of the indicator above 80 and oversold zone Stochastic indicator is determined by the intersection of the line indicator below 20.
At the moment, the predominant direction of the market Forex - upward, as indicated by the intersection of the upward moving averages with periods of 100 and 50. Sliding 50 periods slightly increased. Moving with a period of 100 also continues to show a moderate upward movement. Immediate resistance can be exerted on the upper boundary of the channel, as well as on the round level - 0.8700. The analysts of Forex Broker MillTrade pay attention to the current dominance of the "bull" in the Forex market, as evidenced by the downward price channel. It is important to note that the current consolidation pair NZD/USD happens for several reasons. In particular, exhibits a deterioration of the PMI index for the manufacturing of HSBC China, with which New Zealand has close economic ties.
Author: Research Department of MillTrade.
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