Tuesday, June 12, 2012

Technical analysis of the NZD/USD

The kiwi is recovering since it reached the support at 0.7460. The pair created a double bottom with stochastic divergence around that area. The pattern triggered some profit taking and opened the way to a bullish move. The pair reached a resistance at 0.7785 and that is due to upper BB as well as 31.8% Fibonacci retracement to the move 0.8317 – 0.7460. in case that the pair reaches again 0.7785 level, it could be a nice opportunity to a short position. SL should be place above the high of bearish candlestick, while TP should be placed at the support of the rising trend line on the H4 graph. If opposite scenario will take place and the pair will close above 0.7785 than it will be a bullish sign for a further correction move towards 0.7885.

No comments:

Post a Comment