Mar 26, 2020, 12:17:51 PM

NZD/USD: technical analysis

NZD/USD, H4

On the H4 chart, a lateral trend is forming, the instrument is being traded within a channel formed by the borders of Bollinger Bands; the indicator's cloud is narrowed, confirming the likely preservation of lateral dynamics in the medium term. MACD histogram is near the zero line, its volumes are minimal; the signal line crosses the zero line from below, forming a signal to open buy orders. Stochastic is in the neutral zone, and the lines of the oscillator are reversing upwards.

NZD/USD, D1

On the D1 chart, there is a downward correction, the instrument is traded between the lower and middle borders of Bollinger Bands; the indicator cloud is greatly expanded, which indicates a likely resumption of a decline after the correction. MACD histogram is in the negative zone keeping a strong signal for the opening of short positions. Stochastic is about to cross the border of the overbought area from below after which a signal for the opening of buy positions will be formed.

Key levels

Resistance levels: 0.5865, 0.5915, 0.5960.

Support levels: 0.5765, 0.5685, 0.5585, 0.5470.

Trading tips

According to technical indicators, short positions could be opened from the level of 0.5750 with the target at 0.5680 and stop-loss at 0.5780.

Long positions may be opened from 0.5915 mark with the target at 0.5960 and stop-loss at 0.5880.

Implementation period: 1-3 days.

Scenario

  • Timeframe

    Intraday

  • Recommendation

    SELL STOP

  • Entry Point

    0.5750

  • Take Profit

    0.5680

  • Stop Loss

    0.5780

  • Key Levels

    0.5470, 0.5585, 0.5685, 0.5765, 0.5865, 0.5915, 0.5960

Alternative scenario

  • Timeframe

    Intraday

  • Recommendation

    BUY STOP

  • Entry Point

    0.5915

  • Take Profit

    0.5960

  • Stop Loss

    0.5880

  • Key Levels

    0.5470, 0.5585, 0.5685, 0.5765, 0.5865, 0.5915, 0.5960

Tifia trading account

Open

NZD/USD forecast for today.