NZD/USD Teases At Upside Break With Bearish Candlesticks Absent
- NZD/USD Technical Strategy: Sidelines Preferred
- Harami pattern near 0.8700 finds little follow-through
- Intraday dip may be limited by nearby support
The Kiwi is once again teasing at a break of its 2014 high near 0.8745 after a Harami pattern on the daily failed to find much follow-through. With a bearish reversal signal absent on the daily, a correction may be precluded at this stage. Buyers will likely look to keep the pair supported at the psychologically-significant 0.8700 handle.
Daily Chart - Created Using FXCM Marketscope 2.0
The four hour chart suggests the potential for an intraday dip in the session ahead, signaled by the Harami candlestick formation. However, the extent of a correction may be limited given support at 0.8670/0.8700 rests nearby.
NZD/USD: Intraday Dip May Be Limited By Nearby Support
Four Hour Chart - Created Using FXCM Marketscope 2.0
By David de Ferranti, Currency Analyst, DailyFX
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