NZD/USD: Murrey analysis

On the daily chart, the price rebounded from the level of 0.6286 ([–1/8]), returned to the Murrey trading range and is now consolidating around ​​0.6408 ([1/8]). The consolidation below this the level will let the price return to the levels of 0.6347 ([0/8]) and 0.6286 ([–1/8]). The key “bullish” level is 0.6469 ([2/8], the upper line of Bollinger bands). If the price consolidates above it, growth can continue to the levels of 0.6530 ([3/8]) and 0.6591 ([4/8]). However, this option of price movement seems less likely since Bollinger bands are directed downwards, and Stochastic is preparing to leave the overbought zone and form a sell signal.

Support and resistance

Resistance levels: 0.6469, 0.6530, 0.6591.

Support levels: 0.6408, 0.6347, 0.6286.

Trading tips

Short positions can be opened below the level of 0.6408 with the targets at 0.6347, 0.6286 and stop loss 0.6450.

Long positions can be opened above the level of 0.6469 with the targets at 0.6530, 0.6591 and stop loss 0.6420.

Implementation period: 3–4 days.

Scenario

  • Timeframe

    Intraday

  • Recommendation

    SELL STOP

  • Entry Point

    0.6405

  • Take Profit

    0.6347, 0.6286

  • Stop Loss

    0.6450

  • Key Levels

    0.6286, 0.6347, 0.6408, 0.6469, 0.6530, 0.6591

Alternative scenario

  • Timeframe

    Intraday

  • Recommendation

    BUY STOP

  • Entry Point

    0.6475

  • Take Profit

    0.6530, 0.6591

  • Stop Loss

    0.6420

  • Key Levels

    0.6286, 0.6347, 0.6408, 0.6469, 0.6530, 0.6591