Overview:- By analyzing the daily technical chart we can see that bulls are doing their best and heading to north side. Overall pair is now trading in uptrend and in an uptrend market always buy on dips will be profitable strategy. Well the way bulls are reacting it seems like they are driving the car and going for a long drive. Traders and investors are advised to buy the pair for long term targets are still on the cards.
Even pair has given us positive breakout of 0.6180 level which we have mentioned in our previous report. In our previous report also we mentioned to buy the pair above 0.6180 level for the target of 6270 and 0.6350 with stop loss of 0.6000 level. And our first target have been achived smoothly due to bullish momentum. So we are expecting that our readers must have made profit from this move. Here you can see the link of previous report:- https://blog.cabanacapitals.com/2020/05/27/nzd-usd-bulls-are-holding-the-grip-and-playing-at-front-foot/
Technical Analysis: – From technical prospective we can see that pair is trading above all the major and minor EMA lines which is providing us bullish signal. On 4 hourly chart an uptrend line has been formed by which bulls are getting support and rising up. Our bias remains bullish on the pair as long as this uptrend line remains intact i.e. 0.6120 level on closing basis. Odds are in favor of bulls. Also pair is trading in an uptrend channel and it has given us bullish breakout of the uptrend channel which means bulls will get more aggressive here. A short term uptrend line also forming which is providing us bullish signal. A daily closing above 0.6350 will open the way towards the 0.6450 and 0.6500 in near term.
What Next:- The 0.6400 level is immediate key resistance level followed by 0.6500 level where as 0.6150 level can be considered as key support level followed by 0.6050 level.
Trade idea:- Based on chart and studies above we would suggest our traders and investors that go for buy at 0.6280 level for the target of 0.6400 and 0.6500 with stop loss of 0.6150 level.
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