This analysis is for a small trade. I have only done this as a paper exercise. I may not trade this as it would go against one of my rules. I will be trading against the main (ascending) trend line.
The daily is forming a pin bar.
The daily has a divergent stochs trend line
On the 4hour there is a bearish engulfing attempting to form.
1.Ichimoku: Ichimoku giving a buy signal.
2.MACD: MACD is also giving a buy signal.
CAD is so much stronger than NZD.
Due to the trade war between China & US, Chinese currency is weakening, so is NZD..
I'll Open long...
cadnzd came towards daily resistance zone (green) and has rejected this zone about 4 times now so I am hoping price does the same things again. Price then created a rising wedge which broke out and retested daily zone one more time.
cadnzd was meant to be a bearish setup due to daily resistance (green) being rejected three/four times but price broke out and retested the zone so this became a bullish setup until price reaches weekly resistance zone (purple)
CXY is approaching our first resistance at 6.9990 (horizontal overlap resistance, 78.6% Fibonacci retracement, 100%, 61.8% Fibonacci extension) where a strong drop might occur below this level pushing price down to our major support at 6.9634 (38.2% Fibonacci retracement, 61.8% Fibonacci extension, horizontal swing low support).
Stochastic is also approaching...