Overview:

NZD/USD is expected to consolidate after hitting one-week high at 0.8678 on Wednesday. It is supported by the Kiwi demand on soft AUD/NZD cross and buoyant commodity prices. But NZD/USD upside is limited by the Kiwi sales on soft NZD/JPY cross amid increased investor risk aversion. . Daily chart is mixed as MACD is bearish, but stochastics is in bullish mode.

Trading recommendation:
The pair is trading above its pivot point. It is likely to trade in a higher range as far as it remains above its pivot point. As far as the price is above its pivot point, a long position is recommended with the first target at 0.8695 and the second target at 0.8745. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 0.8600. A breach of this target will push the pair further downwards and one may expect the second target at 0.8545. The pivot point is at 0.8625.

Resistance levels:
0.8695
0.8745
0.8780

Support levels:
0.8600
0.8545
0.8525