NZD/CAD Bearish Pullback Likely From Resistance Before Trend

Aug 4

The NZD/CAD 2-hour chart is trading in a strong bullish trend after producing a double-bottom reversal near 0.8125, followed by an impulsive rally that broke previous swing highs. Price is currently testing a major resistance zone around 0.8285–0.8290, where buying momentum appears stretched.

The recent breakout suggests buyers remain in control, but the market is also significantly extended above the Ichimoku Cloud, increasing the probability of a short-term correction before another bullish leg.

Key Technical Observations
Trend: Bullish
Market Structure: Higher highs and higher lows remain intact.
Pattern: Double-bottom reversal successfully completed.
Ichimoku Cloud: Price is well above the cloud, confirming bullish momentum.
Resistance: 0.8285 – 0.8295
Pullback Demand Zone: 0.8240 – 0.8255
Major Support: 0.8125 – 0.8135
Expected Scenario

Price is likely to face rejection from the current resistance and retrace toward the 0.8240–0.8255 demand zone, where buyers may step back into the market.

If this support holds and bullish price action forms, the uptrend could resume with another attempt to break above 0.8290.

However, if sellers gain control and price breaks below 0.8240, the correction could extend toward the stronger demand zone around 0.8125–0.8135.

Trading Plan
Sell Zone (Pullback Trade): 0.8285–0.8290
First Target: 0.8250
Second Target: 0.8130
Invalidation: Sustained close above 0.8295–0.8300

Aug 5

Trade active

have a great analysis traders
1st target completed successfully