Sell Below 0.7378. Stop loss at 0.7436. Take profit at 0.7261.
Reason for the trading strategy (technically):
NZDUSD is testing its resistance at 0.7378 (100% Fibonacci extension, 78.6% Fibonacci retracement), where we expect to see a reaction, causing price to drop to its support at 0.7261 (61.8% Fibonacci extension, 100% Fibonacci extension, 50% Fibonacci retracement, 61.8% Fibonacci retracement, horizontal overlap support). We do need to be cautious of the intermediate support at 0.7319 (61.8% Fibonacci extension, 100% Fibonacci extension, 50% Fibonacci retracement, 38.2% Fibonacci retracement, horizontal overlap support).
Stochastic (55, 5, 3) is approaching its resistance at 97% where we expect to see a corresponding reaction. Bearish divergence with price has also been identified which contributes to our bearish bias.
Reason for the trading strategy (technically):
NZDUSD is testing its resistance at 0.7378 (100% Fibonacci extension, 78.6% Fibonacci retracement), where we expect to see a reaction, causing price to drop to its support at 0.7261 (61.8% Fibonacci extension, 100% Fibonacci extension, 50% Fibonacci retracement, 61.8% Fibonacci retracement, horizontal overlap support). We do need to be cautious of the intermediate support at 0.7319 (61.8% Fibonacci extension, 100% Fibonacci extension, 50% Fibonacci retracement, 38.2% Fibonacci retracement, horizontal overlap support).
Stochastic (55, 5, 3) is approaching its resistance at 97% where we expect to see a corresponding reaction. Bearish divergence with price has also been identified which contributes to our bearish bias.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.