On the , amid this journey, bulls broken out resistance of 1.0493 levels (neckline of the ), the sustenance above would drag the upswings towards 1.0705 levels (i.e. peaks).
One can observe the distance (2.39%) once bears broke down below the neckline of the , they have travelled equidistance (2.38%) and taken support exactly at that level.
At this juncture, both leading indicators ( & ) are signaling healthy buying momentum. evidences the positive convergence with the ongoing price bounces that signifies the strength in momentum, (currently, trending above 62 levels).
While, curve right from 20 levels which is oversold zone has been evidencing %K crossover, so currently, bulls seem to be in total control over rallies even after entering 80 zones.
More importantly, daily prices have spiked well above 7-DMA and 7-DMA crosses over 21-DMA that would mean that the upswings may extend further.
It has formed a dragonfly pattern at 1.0290 levels on weekly plotting which is nature; a candle with the big real body would serve as a confirmation to this occurrence.
If this week’s from RBNZ did not surprise by easing shock which was in line with market expectations, then this run may prolong in the short term but for long term trend reversal, it seems like a proper clarity going forward.