NZD/JPY may fall 60 - 90 pips

Our pivot point is at 90.70.

Our preference

The downside prevails as long as 90.70 is resistance.

Alternative scenario

Above 90.70, look for 91.19 and 91.48.

Comment

The RSI is below 30. It could either mean that the pair is in a lasting downtrend or just oversold and therefore bound to retrace (look for bullish divergence in this case). The MACD is negative and below its signal line. The configuration is negative. Moreover, the price is trading under both its 20 and 50 period moving average (respectively at 90.70 and 90.64).

Supports and resistances

91.48 **

91.19 *

90.70 **

90.50

90.28 last

89.68

89.38 **

89.09 *

88.79 **

Number of asterisks represents the strength of support and resistance levels.