Market NewsTechnical Analysis

GBP/NZD: Bear Holds the Key Waiting for Its Territory

  • GBP/NZD has been bearish on the H4 chart.
  • The Simple Moving Average has been working as resistance.
  • The H1 chart looks slightly bullish.
  • Intraday price action suggests it may get choppy.
GBP/NZD H4 Chart
GBP/NZD H4 Chart

GBP/NZD- Technical Analysis-H4 Chart

The chart shows that the pair has been heading towards the downside with a good momentum. The simple moving average 30 has been working as resistance. Thus, it may attract the sellers to look for short opportunities. As of writing, the pair consolidates. It produced a bearish inside bar. It may have attracted the sellers to go short. However, it is the last day of the week. Thus, the sellers look a bit skeptical. This may make the pair get choppy until the market starts its operation next week.

The chart suggests that if the pair produces a bearish reversal pattern at the value areas, it may find its next support around 2.08250.

On the upside, the buyers may have to wait for the chart to produce a bullish reversal pattern at the last swing low followed by a breakout at the SMA 30. As things stand with the pair, it may need time to happen.

GBP/NZD H1 Chart
GBP/NZD H1 Chart

Price Action Analysis- H1 Chart

The chart shows that the price after being bearish for a long time made a strong bullish move. It had a rejection around 2.10350 and made a long bearish correction. The price upon producing an ABC pattern headed towards the North. However, it failed to make a breakout at the last swing high. As of writing, the pair trades around 2.10350. A bullish breakout above the level may push the price towards the North. The price may find its resistance around 2.10900.

On the downside, the last swing high may work as a double top resistance. If the price makes a bearish breakout at 2.09630, the sellers may consider it neckline breakout. This may generate strong bearish momentum and drive the price towards the South.

Considering both charts, it seems that the bear has an edge. We may see some good bearish move in the pair next week.

Written by: Md Tareq Sikder, Senior Analyst Forex Prop News

Contact and follow Tareq on Twitter: @tareqfpn

Leave a comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Our Newsletter

Subscribe to ForexPropNews Trading Newsletters

Receive the best-curated content by our editors for the week ahead.

Mini Charts

Related Articles

Asia-Pacific Markets Rise as China Signals Private Sector Support

Asia-Pacific markets rise as China supports the private sector, with Japan, Hong...

Asia-Pacific Markets Gain as Focus on Central Bank Decisions

Asia-Pacific stock markets traded mostly higher on Monday as investors assessed Japan’s...

Asian Equities Rally Following Strong Wall Street Performance

Asian equities rallied following a strong Wall Street performance on U.S. tariff...

Economic Shifts: Inflation Declines, Currency Markets React

Market analysis on inflation, currency trends, and key economic events shaping global...