0.6720 strong support for NZD/USD, weakness only on breaks below

The New Zealand dollar was down around 1.2 percent on the day to hit 0.6745 against the Greenback in light trade with financial markets there shut for a public holiday.

Downside has been capped at 0.6745, the pair has edged higher from session lows and is currently trading at 0.6768.

Strong support is seen at 0.6720 (rising trendline support), further weakness seen on breaks below, pair could then test 0.6680 (Dec 18 lows), further downside could target 0.66 levels.

On the flipside resistance is seen at 0.6780 (Dec 21 high) ahead of 10-DMA at 0.6805, close above would negate the bearish bias.

Resistance Levels:

R1: 0.6780 (Dec 21 high)

R2: 0.6805 (10-DMA)

R3: 0.6842 (200-Day MA)

Support Levels:

S1: 0.6745 (Session low Jan 4)

S2: 0.6720 (rising trendline support)

S3: 0.67 (Dec 14 low, psychological level)