NZDUSD Weekly Technical Outlook
The NZDUSD is technically disposed southward. On the weekly time frame, a few weeks back, price action retraced to a broken down support zone around the 0.66870 area before it turned southward three weeks’ ago. Last week saw another northward correction but bears mitigated the move; leading to the printing of a bullish candlestick with a longer upper tail. This indicates that bears have been wrestling bulls for market control. Price action is presently located around a horizontal support in the 0.65040 area and we may see a sideways of price action before any bearish momentum. However, should bears manage to seize control of the market, we may see them target the next horizontal support around the 0.63900 area.
On the daily time frame, price action is operating in a descending channel (chocolate). Four bearish waves have formed within the channel with correspomding corrective pullbacks. A fifth bearish wave seems to be in the offing and the technicals are in sync.
On the H4 time frame, price action is operating in a minor ascending corrective flag (magenta). A southward breach of the flag is technically likely to lead to a bearish continuation and an increased southward momentum.
I may be wrong. Trade safe and prosper.
KP
The NZDUSD is technically disposed southward. On the weekly time frame, a few weeks back, price action retraced to a broken down support zone around the 0.66870 area before it turned southward three weeks’ ago. Last week saw another northward correction but bears mitigated the move; leading to the printing of a bullish candlestick with a longer upper tail. This indicates that bears have been wrestling bulls for market control. Price action is presently located around a horizontal support in the 0.65040 area and we may see a sideways of price action before any bearish momentum. However, should bears manage to seize control of the market, we may see them target the next horizontal support around the 0.63900 area.
On the daily time frame, price action is operating in a descending channel (chocolate). Four bearish waves have formed within the channel with correspomding corrective pullbacks. A fifth bearish wave seems to be in the offing and the technicals are in sync.
On the H4 time frame, price action is operating in a minor ascending corrective flag (magenta). A southward breach of the flag is technically likely to lead to a bearish continuation and an increased southward momentum.
I may be wrong. Trade safe and prosper.
KP
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