NZD/USD Consolidation Endures As Traders Look Past Bearish Pattern
- NZD/USD Technical Strategy: Sidelines Preferred
- Dark Cloud Cover Finds Limited Follow-Through
- Hammer On H4 Offers Positive Sign For The Bulls
NZD/USDcontinues to consolidate with key reversal candlesticks, including a Dark Cloud Cover pattern, receiving little follow-through in recent trade. This leaves a more constructive setup desired to suggest a directional bias. A retreat from the pair is likely to find buying interest renewed at the 2014 low near 0.7730.
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
A Hammer formation on the four hour chart offers an encouraging sign for the bulls. An advance over the session ahead is likely to encounter selling pressure at the recent highs near 0.7950.
NZD/USD: Hammers Offers Hope For The Bulls
Four Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
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