- NZD/USD has been heading towards the North with good momentum on the H4 chart.
- The pair made a significant bullish breakout at a resistance.
- The H1 chart looks bullish trading above today’s last swing high.
NZD/USD -Technical Analysis- H4 chart
The chart shows that the pair has been bullish by obeying the simple moving average 30. At the last bounce, it produced a bullish engulfing candle and headed towards the North in a hurry. On its way, it made a breakout at 0.62500. Buyers may consider it as a strong level of support since the price reacted twice at this level recently. A bullish reversal pattern at the value areas may push the price towards the North. The price may find its next resistance around 0.64000.
The sellers, on the other hand, may stay away from making trading decision based on this chart. The pair either get very choppy or remain bullish as far as the recent price action is concerned.
Price Action Analysis- H1 Chart
The chart shows that the price has been up trending by obeying a trend line. At the last bounce, it produced a bullish engulfing candle. The buyers then waited for their opportunities and pushed the price towards the North upon having a bullish engulfing candle after consolidation. As of writing, the pair is having a correction on the minor charts. However, considering bearish correction and the strong bullish reversal candle, it seems that the pair is ready to make another move.
Some buyers, on the contrary, may wait for the price to come at the trend line’s support again to go long. If that happens, it would offer better risk-reward.
Both charts suggest that the bull is going to dominate in the pair. We may see some good moves towards the North in the pair this week.
Written by: Md Tareq Sikder, Senior Analyst Forex Prop News
Contact and follow Tareq on Twitter: @tareqfpn