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Mini double top suggests some downside in NZD/USD

Last week, NZD/USD formed a small price bottom and continued to rally when after the a FOMC reaction pressured the greenback across the board. 

NZD/USD 1H Chart 8/1


(click to enlarge)

Turning bullish?
- As we can see, the NZD/USD has turned bullish at least in the 1H chart.
- Price has formed a bottom and has since broken and stayed above the 200-, 100-, and 50-hour simple moving averages (SMAs)
- The RSI has pushed above 70, and has held above 40 - this shows development of bullish momentum. 

A bearish correction ahead
- After the latest upswing to end the month, NZD/USD could be exhausted.
- The first sign of pending bearish correction is the double top that formed in the 1H chart. 
- Now, we do have to consider the fact that the double top itself is a completed consolidation pattern. 
- It's just that price has broken below, so we might get even more consolidation but to the downside. 
- I think we can anticipate a dip towards the 0.7120-0.7125 area.
- This is a critical support/resistance pivot that might be reinforced by a rising trendline. 
- Expect some support here around 0.7120.
- However,a break below 0.71 on the other hand would signal a bearish continuation, with the 0.70-0.7020 area, then the 0.6950-0.6965 area in sight.