NZD/USD has been trapped in a tight range for the last few days. We see this as a fourth wave that can be a triangle or a more profound three-wave drop if the triangle unfolds in the wave B. In either case, we believe that more upside is coming for NZD this week. The first support is at 0.7150 and the second at 0.7100.
NZD/USD made a strong recovery in the 4-hour chart, an impulsive move after we noticed a completion of a significant and complex W-X-Y corrective decline at 0.6854. Therefore, seems like a new five-wave bullish cycle is now in progress that can send the price even higher once current corrective consolidation within wave four entirely unfolds. Ideal support is around the 0.7100 level.