NZD/USD At A Crossroads Near Key Resistance
- NZD/USD Technical Strategy: Sidelines Preferred
- Haramipattern 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 0.8740. With strong support at 0.8700, the Harami pattern on the daily failed to find much follow-through, leaving the pair void of bearish reversal patterns. A daily close above 0.8740 would open the psychologically-significant 0.8800 handle.
Daily Chart - Created Using FXCM Marketscope 2.0
The four hour chart reveals some hesitation amongst the bulls denoted by a Doji formation. However, the candlestick may not be enough to signal a correction over the session ahead. The extent of a pullback may be limited given support at 0.8690/0.8700 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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