NZD/USD Price Forecast February 22, 2018, Technical Analysis

I believe that the New Zealand dollar is trying to form a bit of a base in the 0.7350 level, as we have seen significant building of pressure over the last 24 hours. I believe that if we can break above the 0.7365 level, the market will continue to go much higher, perhaps reaching towards 0.74, and then make another attempt at the 0.75 level above, which has been a massive “zone” of resistance. If we can break above the 0.75 level, that should send this market much higher, perhaps reaching towards a “buy-and-hold” situation. I think that the market is eventually going to do just that, and I believe that the US dollar will continue to struggle longer term.
Pay attention to the bond markets, because if the US bonds start to sell off again, that will be reason enough to see the NZD/USD pair continue to rally, as the US dollar will sell off everywhere. The New Zealand dollar is a bit thinner than some of the other major currency pairs, so it would make for a larger move than many other major pairs. I think that eventually we will run into some exhaustion and pull back enough to find enough value to rally yet again. I have no interest in shorting this market, it looks far too bullish.

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