#GBPNZD H4: Correction Underway
Here are the key points for this chart of GBPNZD:
- Trend. I find the trend still DOWN, although it's has lost momentum recently - the correction has come across almost the entire median line set
- Fundamentals: the NZD is still strong or strong-ish, while the GBP is the weakest currency in terms of relative strength. The NZD is also relatively oversold.
- Support. Price may find the first support at the last minor lows (1.8595), the next one at the prior major high (1.83838), and another one at the median line, around 1.8.
- Resistance. The rising price is expected to find resistance on the upper MLH parallel or the dashed outer parallel and after a test of the line bounce off of it to go down.
- Trading opportunites: enter short at one of the resistance areas, with a stop-loss order above the corresponding prior high, looking to exit at some of the support levels with R:R of at least 1:1.
Here's the summary of how I see the current situation in financial markets (as of Tue. 19.07.2016, 11:00 CET):
The strongest currencies: SGD, AUD, NZD.
The strongest major currency: AUD (currently oversold).
The weakest currency: GBP.
The leading markets:
- GBPSGD - trending down;
- GBPAUD - trending down;
- XAGJPY - trending up.
The developing potential entry opportunities:
- SGDCHF - go long;
- GBPAUD - go short;
- GBPNZD - go short.
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Disclaimer:
There is a very high degree of risk involved in trading forex . I assume no responsibility or liability for any trading or investment results. My posted statements and charts may unintentionally include inaccuracies. All content posted is for educational purposes only and is not a financial advice. The presented set-ups are not solicitations of any order to buy or sell. Rather, you should use the information only as a starting point for doing additional independent research, your own due diligence, in order to allow you to form your own opinion regarding trading decisions. No assumption should be made in relation to the performance or accuracy of the methods shown. No claims are made as to the success or profitability of any of my posts.
- Trend. I find the trend still DOWN, although it's has lost momentum recently - the correction has come across almost the entire median line set
- Fundamentals: the NZD is still strong or strong-ish, while the GBP is the weakest currency in terms of relative strength. The NZD is also relatively oversold.
- Support. Price may find the first support at the last minor lows (1.8595), the next one at the prior major high (1.83838), and another one at the median line, around 1.8.
- Resistance. The rising price is expected to find resistance on the upper MLH parallel or the dashed outer parallel and after a test of the line bounce off of it to go down.
- Trading opportunites: enter short at one of the resistance areas, with a stop-loss order above the corresponding prior high, looking to exit at some of the support levels with R:R of at least 1:1.
Here's the summary of how I see the current situation in financial markets (as of Tue. 19.07.2016, 11:00 CET):
The strongest currencies: SGD, AUD, NZD.
The strongest major currency: AUD (currently oversold).
The weakest currency: GBP.
The leading markets:
- GBPSGD - trending down;
- GBPAUD - trending down;
- XAGJPY - trending up.
The developing potential entry opportunities:
- SGDCHF - go long;
- GBPAUD - go short;
- GBPNZD - go short.
-----------
Disclaimer:
There is a very high degree of risk involved in trading forex . I assume no responsibility or liability for any trading or investment results. My posted statements and charts may unintentionally include inaccuracies. All content posted is for educational purposes only and is not a financial advice. The presented set-ups are not solicitations of any order to buy or sell. Rather, you should use the information only as a starting point for doing additional independent research, your own due diligence, in order to allow you to form your own opinion regarding trading decisions. No assumption should be made in relation to the performance or accuracy of the methods shown. No claims are made as to the success or profitability of any of my posts.
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