NZDCHF (1H) - short term bullish bias
There is no lack of buying interest after the pair bounced off the daily support area of 0.6180. The latest consolidation might have come to an end as the price broke above 0.6270 with much conviction. The 20-hour moving average crossed above the 30-hour one in a textbook bullish crossover. As the RSI ventures later into the...
NZDCHF bounced off 0.62304 where it could potentially rise further to 0.62862.
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NZDCHF has been trading within this wedge pattern, however after a lower high and the development of a bearish head and shoulders we are expecting an imminent breakout. RSI now shows divergence with a higher high on the chart yet a lower high on the RSI. Momentum is therefore shifting. We will await a break of the lower boundary of the wedge and a retest before...
There are 3 roadmaps here for ideas.
Take note of a possible LARGER ABCD move inside a smaller ABCD move.
You can clearly identify the possible pattern formations that could play out via harmonics. Price must break the purple solid line to exit the range and become bullish on DAILY. I see this double bottom as a FALSE PATTERN if it does not break the horizontal...
. There is a possibility of temporary retracement to suggested support line (0.6302). if so, traders can set orders based on Price Action and expect to reach short-term targets.
. NZDCHF is in a range bound and the beginning of uptrend is expected.
.The price is above the 21-Day WEMA which acts as a dynamic support.
Pattern: Double Bottom/Breakout setup
Observation: Price appears to have successfully break resistance @ 0.62700 and it's currently experiencing a correction into the 0.62700 zone to make new support.
Trading possibility: BUY now or at the completion of correction into 0.62700/0.62500 zone with a...