Hi Traders! AUDNZD technical analysis and short term forecast is here. The way I would like to analyze the chart for setups is based on multi-timeframe confirmations because in my POV if we get more evidences on different timeframes for the same direction then it makes the setup much more reliable. If you would like to learn more about the way we trade and the technical analysis we use then check out the Traders Academy Club Spoiler alert – free memberships are available! Let’s start our analysis from the highest timeframe which will be the H4 chart here.
AUDNZD H4(4 Hours) Chart Analysis – Strong Resistance Zone, Volumes Indicator, Stochastic Oscillator
On the H4 chart, we have a strong resistance zone that has formed and the price which is moving higher is currently nearing this zone. In addition to this, based on the Volumes indicator we could see that the volumes are dropping which we may consider as an evidence favoring the bears. Also, based on the Stochastic Oscillator we could see that the price has reached it’s extreme, which we may consider as another evidence favoring the bears. In addition to this, there are no signs opposing this short term bearish view at the moment. So everything looks good here for the bears and we may now move down to lower timeframe and look for evidences supporting this short term bearish view.
AUDNZD H1(1 Hour) Chart Analysis – Bearish Divergence, Stochastic Oscillator, Strong Resistance Zone
Looking at the H1 chart, we could see that the price which is moving higher has created a bearish divergence between the first high that has formed at 1.04834 and the second high that has formed at 1.05019 based on the MACD indicator, which we may consider as evidence of bearish pressure. Also, based on the Stochastic Oscillator we could see that the price has reached it’s extreme, which we may consider as yet another evidence of bearish pressure. Until the strong resistance zone shown in the image below (marked in red) holds my short term view remains bearish here.
Technical Analysis & Forecast Summary
AUDNZD H4(4 Hours) Chart Analysis
- Strong Resistance Zone, Volumes Indicator, Stochastic Oscillator
AUDNZD H1(1 Hour) Chart Analysis
- Bearish Divergence, Stochastic Oscillator, Strong Resistance Zone
Trading Tips
It is always recommended to look for confirmations before you jump into any trade. If you are not sure about how to trade this short term sell setup then you can use any setup and strategy that you have in your arsenal to look for bearish moves and join this sell trade.
Also, don’t forget to protect your sell trade using a stop loss and make sure to set a target and keep a proper risk/reward ratio.
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To your success,
Vladimir Ribakov
Certified Financial Technician
