Technical analysis of NZD/USD for February 10, 2015

Overview:

In the short term, the last double top of the NZD/USD pair has already been set at the price of 0.7493 on the H4 chart. Moreover, it should be noted that the level of 0.8856 is representing the highest price. So, the market will turn to the bearish sentiment from the level of 0.7493/0.7450. Additionally, the support has reached 0.7345 and the resistance is going to set at the spot of 0.7450/0.7493. Thus, we expect a new range of 253 pips this week. Therefore, it will be a good sign to sell at the price of 0.7450 with the first target of 0.7345. Furthermore, it will continue in the downtrend in order to keep its bearish movement towards 0.7310 (it should be also noticed that the level of 0.7310 is going to form a strong support). Nevertheless, the stop loss should never exceed your maximum exposure amounts. Accordingly, the stop loss should be placed above the double top (0.7483) at the level of 0.7505.

Intraday technical levels:

R3: 0.7550 R2: 0.7495 R1: 0.7452 PP: 0.7397 S1: 0.7354 S2: 0.7299 S3: 0.7256