NZD/USD Sets Sights On 0.8400 As Traders Look Past Bullish Pattern
- NZD/USD Technical Strategy: Sidelines Preferred
- Hammer Fails To Sustain Upside Momentum
- Break Below 0.8460 Opens 84 US Cent Handle
NZD/USD has suffered a steep decline with a Hammer formation near 0.8460 failing to sustain bullish momentum for the pair. Several short body sessions offered a warning that the pair was struggling to gain ground. With reversal signals now lacking the 0.8400 handle is on the cards.
NZD/USD: May Extend Declines With Bullish Reversal Patterns Lacking
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
The four hour chart paints a contrasting picture to the daily with a Harami pattern offering a glimmer of hope to the Kiwi bulls. The reversal pattern may see an intraday recovery. However, this may be capped by the nearby 0.8480 barrier.
NZD/USD: Harami Offers Hope To The Kiwi Bulls
Four Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
Follow David on Twitter: @Davidde
To receive David’s analysis directly via email, please sign up here.
Learn how to read candlesticks to help identify trading opportunities with the DailyFX Candlesticks Video Course.
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.