EUR/NZD M30 Bearish Channel: Prepare for Potential Selling Opportunities
The EUR/NZD pair on the M30 timeframe presents a potential selling opportunity due to a well-defined bearish channel pattern. This pattern suggests ongoing downward momentum and a higher likelihood of further declines in the coming minutes or hours.
Key Points:
Bearish Channel: As illustrated in the image below, the price has been trading within a descending channel, characterized by two converging lines: a falling resistance line and a falling support line. This ongoing downtrend signals continued selling pressure.
Sell Entry: Consider entering a short position around the current price of 1.7691, which sits close to the channel resistance, potentially offering a favorable entry point near a potential reversal point.
Target Levels: Initial bearish targets lie at the support levels of 1.7562 and 1.7487, marking previous support zones within the channel.
Stop-Loss: To manage risk, place a stop-loss order above the channel resistance line at 1.7750. This helps limit potential losses if the downtrend breaks unexpectedly.