FX Reversals: GBPNZD Tests Daily Resistance
- GBPNZD Opens in Range
- R3 Resistance Sits at 1.9499
- Market Breakouts Signaled Under 1.9364
GBPNZD 30min Chart
(Created using FXCM’s Marketscope 2.0 charts)
The GBPNZD has started today’s trading at the upper end of its current daily trading range. Currently the pairs range resistance line lies near the R3 camarilla pivot at 1.9499. In the event that price respects resistance, traders can look for a potential price movement back towards range support. For today range support is found at the S3 pivot point at a price of 1.9409, completing the days 90 pip trading range.
A breakout Below the S4 pivot would signal a strong reversal back in the direction of the GBPNZD’s current daily trend. It should be noted that price has declined as much as 667 pip over the last six weeks of trading. Conversely a price break above R4 resistance at 1.9544, would indicate momentum shifting towards a new higher high. In either of the two mentioned breakout scenarios, the range should be considered invalidated for the day with traders then positioning themselves with the markets new direction.
Are you unfamiliar with camarilla pivots and trading intraday market reversals? Feel free to catch up, on the latest information using the article series linked below!
Then, to practice setting up orders using Camarilla Pivots, register for a FREE Forex demo with FXCM. This way you can develop your scalping techniques while tracking the market in real time.
Click HERE to Register Now
---Written by Walker England, Trading Instructor
To contact Walker, email firstname.lastname@example.org. Follow me on Twitter @WEnglandFX.
To be added to Walker’s e-mail distribution list, CLICK HERE and enter in your email information.
Previous Market Setups:
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.