NZDUSD Turning Bullish

Technical analysis

The NZDUSD pair has recently reached the bottom of a large broading expanding wedge pattern on the daily time frame. Sellers failed to stage a breakout under the wedge.

According to the MACD indicator, the NZDUSD pair has formed large amounts of bullish price divergence and could correct back towards the 0.7045 level.

What the possible outcomes are

In our most likely scenario, the NZDUSD pair correct towards at least the 0.7045 level as the bullish price divergence starts to be reversed and buyers step back into the market.

Alternatively, the NZDUSD could close the daily candle below the mentioned broadening wedge pattern level, and then start to collapse towards the 0.6800 level.

Key levels

Support 0.6910 0.6880

Resistance 0.7000 0.7045

These trading ideas can only be applied to the intraday trading strategy and remain valid for 24 hours after publication. They are based on historical data and analysis and do not guarantee constant profit. You remain solely responsible for your decisions and the financial risks you take. In case your pending order is not executed within a single trading day, please, do not forget to cancel it.

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