Greetings, dear traders. We hope you are doing well. Today, we bring you the NZDUSD Technical Analysis on the H4 chart. Let’s dive into the analysis without wasting any time.
The NZDUSD pair is at a Pivotal Moment |NZDUSD Technical Analysis on H4 chart by Guriforex:
⚡️On the H4 chart, it has formed an expanding wedge pattern. The NZDUSD price is currently testing the upper trend line of this pattern. The MA200 (200-period moving average) suggests a bullish outlook, but the Relative Strength Index (RSI) shows divergence, indicating potential uncertainty.
There are two possible scenarios:
- 🔼 If the price breaks through the trend line and the resistance level at 0.6190, it is likely to climb up to 0.6260. This breakout would confirm the bullish sentiment indicated by the MA200 and suggest further upward momentum.
- 🔽 Conversely, if the price bounces off the trend line, it could decline to the support level at 0.6100. This rejection would suggest that the bearish signals from the RSI are prevailing, and the price might drop.
This analysis provides a clear picture of the potential movements for the NZDUSD pair. If the resistance at 0.6190 is broken, traders might see a rise to 0.6260. However, if the price fails to break the trend line and falls, it could drop to 0.6100.
Understanding these scenarios can help traders make informed decisions about their positions in the NZDUSD market. The price movements will depend on whether it can overcome the resistance or will be pushed back to the support level. Both possibilities are crucial for short-term trading strategies.
In summary, keep an eye on the critical levels of 0.6190 and 0.6100. The market is at a pivotal point, and how the price reacts to these levels will determine the next significant move for the NZDUSD pair. Traders should be prepared for either outcome and adjust their strategies accordingly.
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