NZD/USD Pullback From 0.8000 Produces Hanging Man Candlestick
- NZD/USD Technical Strategy: Sidelines Preferred
- Bullish Engulfing Formation Lacks Confirmation
- Hanging Man Emerges After Retreat From 0.8000
NZD/USD’s recent retreat has failed to offer confirmation to a Bullish Engulfing pattern and has instead yielded a Hanging Man. This has left the pair trapped below the 0.8000 barrier and lacking positive cues from candlesticks. A close above the psychologically-significant 0.8000 handle would be required to offer a more constructive setup and open the prospect of a run on the 0.8060 ceiling.
NZD/USD: Bullish Engulfing Pattern Fails To Find Confirmation
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
The four hour chart reveals ‘messy’ price action with a void of clear cues from candlesticks. This does little to offer a directional bias over the session ahead. An advance is likely to be met by renewed selling interest at the 0.7995/0.8000 barrier.
NZD/USD: Sellers Likely To Re-emerge Near The 0.8000 Barrier
Four Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
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