Looking for a retrace back to the mean of last few days, to get a better R:R for a short, SL higher than the HH.
NZD rate hikes, could continue though if they stop then would consider pausing on the NZD trades
You could wait for better R:R, I know I will. It seems to face rejection at this level and looks like a great short at this point, you can short right now too but the risk is hgh at the moment. A break below 1.6954 would also validate this idea, which has been support for the past few days.
www.learningfx.com
GBPNZD is at 50 fib from last impulse leg down with RSI @50. This one requires waiting. The PA could go either way including sideways forming a CZ. At least we have targets fro both paths - the channel boundaries.
After ret. with 200 pips from the 50fib of the previous rally up, PA managed to ret. only to 38.2 forming a bullish pennant. Is it bullish or just a CZ on structure before cont. down? I suppose the 1st is more likely. With GBPUSD nearing the peaks and weak NZD it is very hard to predict the next moves.
Watch out for the break of 956 for down move and 965 for...
I've been long GBPNZD since 9230, when it was there about a week and a half ago. Today I'm taking half my position off, as the market has reached a confluence of factors suggesting price may be stalling. The other half remains on, with my stop at breakeven and a target of 2.0240.
Full trade history: www.informedtrades.com
GBPNZD: Classical and harmonic structures signaling additional recovery
Chart Setups:
1- Bullish harmonic pattern.
2- Potential inverse head and shoulders pattern with a confirmation line in the 1.9500 regions.
3- Prices are being carried by SMA20 from the underside.
4- Fibonacci retracement of 23.6% of CD leg was taken out, opening the door up towards 38.2%...
