NZD/JPY: Approaches the Swing High with Bullish Momentum

• NZD/JPY has been heading towards the North on the H4 chart.
• The SMA 30 has been working as a support.
• The H1 chart looks good for the buyers.
• Intraday minor charts have been bullish.

NZD/JPY- Technical Analysis- H4 chart

The chart shows that the price consolidated around the level of 89.270 earlier. To go with it, the simple moving average 30 worked as a support right there as well. The chart produced a bullish engulfing candle at its second bounce. Since then, it has been bullish and moving towards the North in a hurry. The chart shows that the price had a rejection earlier at 90.385. The level may make the move halt for a while. However, as things look on the pair, it seems that the price may end up making a breakout at 90.385 and find its next resistance around 90.850.

On the contrary, if the level of 89.270 works as a resistance and ends up producing a bearish reversal pattern, the sellers may wait for the price to breach the SMA 30’s support to look for short opportunities.

Price Action Analysis- H1 Chart

The chart shows that the price has been up trending by obeying a trend line. The price had a strong rejection at 90.400. Thus, traders are going to be watchful on the price action within the triangle. A bearish breakout at the trend line may attract the sellers to go short in the pair. The price may find its next support around 89.500.

On the contrary, a bullish breakout at the resistance may push the price towards the North further. In that case, it may find its resistance around 90.550.

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

Contact and follow Tareq on Twitter: @tareqfpn