NZDUSD: The Kiwi dollar coming off from monthly highs posted last week at 0.81055 and has also retraced 61.8% of the gains made last week. The NZDUSD has closed last week’s trading week positively, for the 3rd week in a row. Recent moves are corrective to the bearish trend initiated at early May this Year. A move below 0.7900 is required to confirm a resumption of the bearish trend and initiation of the next leg down. As long as we are above this level, recent declines are considered corrective to recent gains. A break below that level would target next 0.7860 and 0.7830. Alternatively if the pair manages to stay above 0.7900, we could see a break of recent top before a resumption of the bearish trend.
USDCHF: The USDCHF closing last week’s trading negatively, for the 3rd week in a row, the pair has retraced most of the gains made from mid-June to early July. Weekly bias remains bearish as long as we below 0.9420, a move above this level are needed in order to relief the downside pressure. A move above this level would target next 0.9477 and 0.9525. Alternatively if we stay below that level, next target objectives are at 0.9243 followed by 0.9170 and eventually 0.9129, the Jun 13th lows.
SP500: The index is consolidating between 1675 and 1694 in recent days, seems like the index lacks the momentum to move higher above recent tops. A move below 1672, the last week and the week prior low level could trigger a deeper retracement in the index. A break below that level and sustaining below would trigger next 1662, followed by 1655 and 1647. Alternatively if the index stays above this level we could see a blow off to the upside before a corrective move lower.