For sometime now we’ve traded the NZDUSD bullish. In this post https://fxsits.com/will-the-nzdusd-continue-bullish/ we asked a question.Will the NZDUSD continue bullish? In that post we mentioned the possibilities of a new range bound area between level 0.65807 and level 0.64015 .We’ve seen price go nowhere seen then. Now as the NZDUSD hovers around these key levels what does this mean for buyers?
Looking at the daily chart, you will notice candlesticks all around level 0.65807 .This has been the NZDUSD price action for the past 2 weeks. We’ve seen price’s bullish momentum come to a sudden stop at this level. Our analysts believe the current bullish movement may be a retracement. Looking at the chart you will notice that price also trades near the long term bearish trendline.
We believe the only time we can be certain that this move will continue bullish. Is only after price has moved and closed above level 0.67521 .Until then we can only be sure that we’re in a long term bearish trend. So, if the NZDUSD hovers around these level.What does this mean for sellers? If sellers manage to push the market down past level 0.64015 .Then we have full confirmation of a long term bearish trend.
NB: Warning Before deciding to participate in the Forex market, you should carefully consider your investment objectives, level of experience and risk appetite. Most importantly, do not invest money you cannot afford to lose. Consider position sizing before entering a trade and manage your risk accordingly. Please read risk warning before deciding to trade the markets.