As we can see NZDUSD pair has pushed right down and touched a major level of support. The same level has acted as both support and resistance on a number of occasion plus the RSI is also in oversold territory. From past we have seen the pair is more likely than not to react when reaches major level like this. I will be going long from here with a potential tp1 marked on the next resistance level and manage thereafter.
The evidence so far is of a ceiling developing to keep price under 0.67665
BannaKhan
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@Captain_Walker, Totally agree mate, facing strong resistance hence closed the trade will re-enter if I get another clear entry.
Captain_Walker
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Thar she blows!
BannaKhan
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@Captain_Walker, already entered short earlier today and closed my trade with 80+ pips .
Captain_Walker
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Caution: this is not advice - just experience.
BannaKhan
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@Captain_Walker, I see what you mean, It can create a quickfire double bottom before shooting up. Not worried.
Captain_Walker
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@BannaKhan, It's already hit a bottom and may retest one more time (or not). I'm too uncertain, so I'll stay out and miss out.
BannaKhan
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@Captain_Walker, It might retest 0.67200 before pulling back.
Captain_Walker
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@BannaKhan, Possibly. I don't have a crystal ball. It's a third major retest of band of support. Time momentum and squeeze momentum as shown on the chart is heavily for the bears. Plus I've seen price contractions go too far into wedges and fail to break in the opposite direction. Hence, I'm too much in doubt about a bounce out off the support level. I could well miss out on a good thing. The markets are there to make me feel stupid. I don't need to win this position or any other. My aim is to win the war, not a minor skirmish. :)