NZDCAD recently reversed up from the powerful support area lying between the long-term support level 0.8360 (which has been steadily reversing the pair from the middle of 2015) and the lower weekly Bollinger Band. The
upward reversal from this support area stopped the previous extended downward ABC correction (2) from April. With the strong bullish sentiment affecting the New Zealand Dollar today – coupled with the moderate Yen bearishness seen across the markets (continued from yesterday)- NZDCAD is likely to extends its gains toward the next resistance level 0.8540 (top of the previous short-term corrective wave (iv) from the end of August).