Hello Traders,
Here is the Top-Down Analysis of NZDUSD (Monthly, Weekly, Daily for direction and 4H for entry) for
Week 49 - Dec 01
M > Market has been bullish for past 3 months and price is now testing monthly resistance level. We can expect a correction to the downside. We can see a W formation and its neck is close to 0.5 Fib level on monthly bullish impulse.
W > Price has broken several key levels on its last weekly bullish rise in past 4 weeks. Neck of W will coincide with weekly resistance now will turn as support.
D > Market is in overbought state with bearish divergence continuing since last week.
As per COT NZD further added both Long and Short bringing Long to the highest for the year, ZXY has gained strength all of November, it is now testing a major resistance level. We can expect some correction to the downside.
4H > Price is retracing however no sign of reversal can be seen currently. We will wait for price to create a LL and its retracement will provide a Short entry with nice risk to reward ratio.
Pair Correlation > NZDUSD has a positive correlation with NZDJPY, NZDCHF, NZDCAD and GBPUSD and negative correlation with EURNZD.
This was my Idea and I hope you find it useful. If you find the analysis of help please leave a LIKE and FOLLOW for receiving all updates during the week. In the comment section share your view or ask questions.
Thank You
AP17FX
Here is the Top-Down Analysis of NZDUSD (Monthly, Weekly, Daily for direction and 4H for entry) for
Week 49 - Dec 01
M > Market has been bullish for past 3 months and price is now testing monthly resistance level. We can expect a correction to the downside. We can see a W formation and its neck is close to 0.5 Fib level on monthly bullish impulse.
W > Price has broken several key levels on its last weekly bullish rise in past 4 weeks. Neck of W will coincide with weekly resistance now will turn as support.
D > Market is in overbought state with bearish divergence continuing since last week.
As per COT NZD further added both Long and Short bringing Long to the highest for the year, ZXY has gained strength all of November, it is now testing a major resistance level. We can expect some correction to the downside.
4H > Price is retracing however no sign of reversal can be seen currently. We will wait for price to create a LL and its retracement will provide a Short entry with nice risk to reward ratio.
Pair Correlation > NZDUSD has a positive correlation with NZDJPY, NZDCHF, NZDCAD and GBPUSD and negative correlation with EURNZD.
This was my Idea and I hope you find it useful. If you find the analysis of help please leave a LIKE and FOLLOW for receiving all updates during the week. In the comment section share your view or ask questions.
Thank You
AP17FX