NZD/USD Yet Another Reversal Candlestick Formation Awaits Confirmation
- NZD/USD Technical Strategy: Sidelines Preferred
- Piercing LinePattern Awaiting Confirmation
- Breach of 0.7730 Needed Open ’12 Low Near 0.7450
NZD/USD’s latest reversal pattern may see another limited response from traders as the pair struggles to meaningfully lift from the 0.7730 floor. A daily close below the nearby barrier would set the scene for a descent on the 2012 low near 0.7450.
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
A congestion zone appears to have formed between 0.7740 and 0.7907 in intraday trade. A medley of short body candles and a Doji formation suggests upside momentum may have stalled. However, with key reversal candlesticks lacking a correction is questionable.
NZD/USD: Dojis Highlight Hesitation Within “Congestion Zone”
Four Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
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