NZD/USD Just Rejected From Downtrend Resistance!
Will this lead the pair to record new lows in the next few days?
I’m looking at the daily chart for a comprehensive overview!
Daily forex trading of NZD/USD Planned by TV
As you can see, NZD/USD recently ended a weeks-long rally after being rejected at the 0.6250 region.
why not? Apart from being close to the 100 SMA on the daily chart and the 61.8% Fibonacci level, 0.6250 also lines up with a bearish resistance channel that has been in place since late 2022.
Does this mean that NZD/USD is heading towards new yearly lows?
Momentum traders can take advantage of NZD/USD slipping below the pivot point line (.6130) and 200 SMA to target nearby areas of interest such as 0.6100 or .6050.
You can even plan a trip below 0.6000 if there is enough bearish momentum!
Aren’t you convinced that the NZD/USD will continue its bearish trend?
You can wait for another couple of candlesticks to see if NZD/USD stays below the 200 SMA. If it retests the psychological level of 0.6200, the pair may play an upward breakout.
Whichever bias you choose to trade, make sure you are using best risk management practices so you don’t lose your shirt on a single trade!