GBPNZD recently broke above the red descending channel, invalidating the previous bearish structure. The breakout was further supported by recent positive UK economic data, which added strength to GBP and helped drive the breakout.
Since then, price has been moving inside the blue ascending channel on the H4 timeframe and has now reached a major weekly resistance area, making the current zone worth monitoring for a potential reaction.
⭕A more conservative approach would be to wait for a break below the green trigger area, then look for sell setups on its retest as additional confirmation. At the same time, a developing bearish divergence is adding more confluence to the bearish scenario and may serve as an early indication that bullish momentum is beginning to weaken.
⭕However, if price continues to hold above the green trigger area and breaks the current weekly resistance, the focus shifts toward the next resistance zone, where price may face another potential rejection.
The coming price action around this resistance area may provide a clearer indication of whether the recent breakout is ready for a pullback, or if buyers still have enough momentum to extend the current bullish move.
⚠️*Disclaimer: This analysis reflects my personal market view and is not financial advice.*
Rayan Nasser
#GBPNZD #GBP #NZD #Forex #TechnicalAnalysis #PriceAction #Trading #MarketStructure
Since then, price has been moving inside the blue ascending channel on the H4 timeframe and has now reached a major weekly resistance area, making the current zone worth monitoring for a potential reaction.
⭕A more conservative approach would be to wait for a break below the green trigger area, then look for sell setups on its retest as additional confirmation. At the same time, a developing bearish divergence is adding more confluence to the bearish scenario and may serve as an early indication that bullish momentum is beginning to weaken.
⭕However, if price continues to hold above the green trigger area and breaks the current weekly resistance, the focus shifts toward the next resistance zone, where price may face another potential rejection.
The coming price action around this resistance area may provide a clearer indication of whether the recent breakout is ready for a pullback, or if buyers still have enough momentum to extend the current bullish move.
⚠️*Disclaimer: This analysis reflects my personal market view and is not financial advice.*
Rayan Nasser
#GBPNZD #GBP #NZD #Forex #TechnicalAnalysis #PriceAction #Trading #MarketStructure
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.