New Zealand Dollar Technical Outlook

[B]New Zealand Dollar / US Dollar[/B]

The NZDUSD has forged fresh 8-month highs on today’s rally, but the pair remains at clear risk of pullback in heavily overbought territory. Daily RSI studies show a slight divergence in fresh price highs but a lower peak in the oscillator. Next resistance is relatively minor at 10/7 highs of 0.6426, while more solid price ceilings can be seen at trend channel tops and the 50.0 percent Fibonacci retracement of the 0.8220-0.4900 move at 0.6560. Support is seen at previous resistance of 0.6266 and clear congestion levels at 0.6100.