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As long as the NZD/USD pair continued trading above 0.6860, further bullish advance was expected towards the upper limit of the depicted channel around 0.7400.
Recently, the price zone between 0.7470-0.7500 has corresponded to the upper limit of the depicted movement channel where bearish rejection and a valid SELL entry were expressed few weeks ago.
On October 20, the mark of 0.7245 was a prominent key-level to determine the next destination for the NZD/USD pair.
As expected, evident bearish rejection around 0.7250 offered a valid SELL signal (already running in profits). T/P levels were located at 0.7070 and 0.6970.
Please take into consideration that the price level around 0.7100 (lower limit of the depicted channel) constituted a short-term support Level.
That's why, temporary bullish recovery is being expressed around 0.7100 before further bearish decline can take place.
On the other hand, the price zone between 0.6960-0.6860 remains a significant support zone to be watched for a valid BUY entry if bearish pullback manages to extend below 0.7100.
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