NZDUSD Classic Technical Report 08.16.2012

Prices corrected narrowly higher after taking out support at 0.8076, the 14.6% Fibonacci expansion, having recoiled from line resistance capping gains since August 2011. The next downside objective lines up at the 80.00 figure, a barrier reinforced by the 23.6% Fib at 0.7983. A break below that targets rising trend line support 0.7933. The 0.8076 level has been recast as near-term resistance, with a push back above that targeting 0.8173.

Daily Chart - Created Using FXCM Marketscope 2.0

--- Written by Ilya Spivak, Currency Strategist for Dailyfx.com

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