Here is the NZDUSD pair again… The price is approaching the trendline now, also there is a significant horizontal level of support AND the hourly 200 sma is converging in on the area… Nice little trifecta of confluent supporting factors. The horizontal level of support is also a round number at .8100, even better.
We have RBA’s governor speaking in about an hour which could move the price of this pair… I would be watching price closely if it hits this area…
I suspect it likely that the price will hit the 100 sma (red) following RBA’s speech, then bounce up for a bit before testing our support area maybe sometime tomorrow or early next week.
Ideally for a long, I would like to see nothing too negative from the RBA speech today… And then for, price too hit the area sometime tomorrow morning after a reaction to the US core durable goods order release. If price doesn’t hit until some time mid next week I will not be looking for a long, but rather wait and see if a trend break develops.