NZD/USD Downside Risks Remain Amid Void Of Bullish Candlesticks
- NZD/USD Technical Strategy: Pending Short
- Daily Remains Devoid Of Bullish Reversal Signals
- H4 Chart Offers Small Hopes For Intraday Gains
NZD/USDhas extended its recent declines and carved a fresh 2014 low in recent trade. Coupled with a void of bullish signals on the daily this leaves the immediate risks skewed to the downside for the pair. A more convincing daily close below the 0.8060 barrier would set the Kiwi up for its next leg lower to the September 2013 low at 0.7730.
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
The four hour timeframe paints a less compelling portrait for potential Kiwi weakness. A Morning Star formation near the 0.8040 mark indicates the potential for an intraday recovery for the pair. Yet in the shadow of a broader bearish trend on the daily, the scope for gains may be limited.
NZD/USD: Awaiting Clearer Signals As Intraday Range Emerges
Four Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
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