NZD/JPY may rise 65 - 94 pips

Our pivot point stands at 90.85.

Our preference

The upside prevails as long as 90.85 is support.

Alternative scenario

The downside breakout of 90.85 would call for 90.36 and 90.06.

Comment

The RSI is trading above 70. This could mean that either the pair is in a lasting uptrend or just overbought and that therefore a correction could shape (look for bearish divergence in this case). The MACD is positive and above its signal line. The configuration is positive. Moreover, the price is trading above both its 20 and 50 period moving average (respectively at 91 and 91.02). Finally, the NZD/JPY is trading above its upper Bollinger band (standing at 91.26).

Supports and resistances

92.84 **

92.54 *

92.24 **

91.95

91.30 last

91.05

90.85 **

90.36 *

90.06 **

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