NZD/USD Recovery Questionable As Piercing Line Awaits Confirmation
- NZD/USD Technical Strategy: Shorts Preferred
- Piercing Line Candlestick Pattern Awaiting Validation
- Daily Close Below 0.8260 Opened Descent Towards 0.8060
NZD/USD’sslight rebound has left a Piercing Line candlestick pattern in its wake. Yet the bullish reversal formation awaits confirmation from a successive up-day. Against the backdrop of a core downtrend on the daily, a complete shift in sentiment is likely to prove difficult.
NZD/USD: Piercing Line Pattern May Struggle To Find Follow-Through
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
The four hour timeframe does little to inspire hope for the Kiwi bulls. The bounce from 0.8120 has failed to yield key reversal candlesticks, which casts some doubt on the potential for a recovery.
NZD/USD: Absence of Key Reversal Patterns Casts Doubt On A Recovery
Four Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
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