NZDUSD: Another Chance 2 Shot for the Bears!
Hey there, folks! Missed us? Ready for some market action? ;-)
After a two-week rally that kicked off in mid-December, followed by a corrective phase in the closing days of the past year, it's no surprise that the market has resumed its downward trajectory. Right now, our strategy unmistakably points to a downward impetus. That said, the prevailing trend remains upward.
Since the release of American statistics on January 5th caused a volatility surge, the market has locked horns, giving rise to a consolidation pattern in the form of a triangle.
Bulls have taken a breather (and our trading strategy clearly reflects this sentiment), gradually easing the oversold. This provides the bears with the perfect opportunity to amass strength and regain their control.
Our trading strategy indicates that the minimum target for the decline has been achieved. However, the duration of the downward slide is currently below average. This means the bears haven't exhausted their potential just yet. The juicy piece of the new wave of decline is the closest low in the upward trend, clocking in at 0.60841, dated December 13th, 2023. Let's not forget, we've got an unfilled gap hanging around at 0.61271, ready to be filled.
Keep your eyes peeled for signals of resurfacing bearishness, and that will be a drop of the NZD/USD pair to 0.6209 and below during the January 10th trading session. Though, if the low of January 8th at 0.62123 crumbles, that would be a great opportunity to jump into action.
We're gearing up to open a short position. Come the January 10th trading session, we'll place a sell-stop order at the level of 0.62122.
Stay vibrant, trade smart, and stay tuned for updates! 😊
After a two-week rally that kicked off in mid-December, followed by a corrective phase in the closing days of the past year, it's no surprise that the market has resumed its downward trajectory. Right now, our strategy unmistakably points to a downward impetus. That said, the prevailing trend remains upward.
Since the release of American statistics on January 5th caused a volatility surge, the market has locked horns, giving rise to a consolidation pattern in the form of a triangle.
Bulls have taken a breather (and our trading strategy clearly reflects this sentiment), gradually easing the oversold. This provides the bears with the perfect opportunity to amass strength and regain their control.
Our trading strategy indicates that the minimum target for the decline has been achieved. However, the duration of the downward slide is currently below average. This means the bears haven't exhausted their potential just yet. The juicy piece of the new wave of decline is the closest low in the upward trend, clocking in at 0.60841, dated December 13th, 2023. Let's not forget, we've got an unfilled gap hanging around at 0.61271, ready to be filled.
Keep your eyes peeled for signals of resurfacing bearishness, and that will be a drop of the NZD/USD pair to 0.6209 and below during the January 10th trading session. Though, if the low of January 8th at 0.62123 crumbles, that would be a great opportunity to jump into action.
We're gearing up to open a short position. Come the January 10th trading session, we'll place a sell-stop order at the level of 0.62122.
Stay vibrant, trade smart, and stay tuned for updates! 😊
Trade active:
We cancel previous sell-stop order and set new one at 0.6216.
Trade closed manually:
Bears proved to be no better than bulls 😊 The lack of downside momentum and continuation of the flat does not align with our expectations for the deal.
The trade has been closed at 0.62355. The loss is 0.31%.
The trade has been closed at 0.62355. The loss is 0.31%.