NZD/USD Approaches Overbought Region, May Reverse at Level 0.7185

Key Resistance Levels: 0.6600, 0.6800, 0.7000
Key Support Levels: 0.6200, 0.6000, 0.5800

NZD/USD Price Long-term Trend: Bullish
NZD/USD is in an upward move. Since November 2, the pair has continued its rally as it reaches the high of 0.70659. A retraced candle body tested the 78.6% Fibonacci retracement level. The retracement indicates that the Kiwi will rise and reach a level of 1.272 Fibonacci extensions. That is the market will reverse at level 0.7185.

Daily Chart Indicators Reading:
The Kiwi has risen to level 70 of the Relative Strength Index period 14. It indicates that the pair is approaching the overbought region of the market. The 50-day SMA and 21-day SMA are sloping upwardly indicating the uptrend.

NZD/USD Medium-term Trend: Bullish
On the 4-hour chart, the NZD/USD pair has resumed an upward move. A retraced candle body tested the 78.6% Fibonacci retracement level. The retracement indicates that the Kiwi will rise and reach level 1.272 Fibonacci extension. That is at a high of level 0.7140.

4-hour Chart Indicators Reading
The 50-day and 21-day SMAs are sloping upward. It indicates that the pair is in an uptrend. The Kiwi is above the 20% range of the daily stochastic. It indicates that the market is in bullish momentum.

General Outlook for NZD/USD
The NZD/USD pair has continued to rise as the pair reaches the overbought of the market. Nevertheless, the Fibonacci tool has that the Kiwi will reverse at the 1.272 Fibonacci extensions.

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