The pair NZD/USD made an output this morning of its horizontal channel  0.83/0.8463 in which the pair evolved since the beginning of the year. The break of the resistance at 0.8463 ga us a new strong buy signal and release a high upside potential. On the short term, this movement made appear a bullish slant (blue line in h1).

We continue to advise long positions as far as 0.8395 is support. This level corresponds to the medium-term bullish slant (black line). The resistance at 0.85 should be crossed quickly to allow the price to test the resistance dating from the end of August 2011 at 0.8550.

On the short term, the break of the bullish slant and a return below 0.8350 would probably lead the price for a pullback on 0.8395. If this level is broken, we will be neutral between 0.8350 and 0.8395.

NZD/USD 1h chart

After the false exit from the top of the horizontal channel between 0.83 and 0.8463 in mid February, the pair NZD/USD has finally made ​​a return to the lower band. Currently, the price evolves in a neutral zone between 0.8339 and 0.8394. This last correction movement led to the breakout of the medium term bullish slant (black line), which was giving support since the beginning of the year. In the short term, the price is still moving in a bearish channel (blue lines).

We advise to wait an exit of the range 0.8339/0.8394 to take position:
- Long in case of return above 0.8394. This would mark a return above the bullish slant. A new test of the upper limit of the horizontal channel to 0.8463 would be expected.

- Short if 0.8339 is broken. This would definitely validate the break of the bullish slant. The price should then test the support at 0.83. The break of this level would indicate the return of a downtrend.

NZD/USD 1h chart