Categories: Technical Analysis

Double bullish scenario for the Kiwi

I believe NZDUSD didn’t yet finish it’s bullish move. It is very likely that the price will visit at least 0.7600. There is bullish pressure on the weekly chart because of the bullish divergence and also 20+ candles ride. On the H4 chart there is inverted head and shoulders pattern, which adds up to the bullish view. We can also expect to see duplication of the first bullish wave. There are two ways we can join. Either buy dips with bullish divergence to form or alternatively wait for the break of the major resistance around 0.7450 and then buy on the re-test. Remember that price must remain above 0.7290 in order for this two scenarios to be valid.

Technical Overview:
W1: 20+ candles ride on the Bollinger Bands, bullish divergence

H4: head & shoulders pattern, potential duplication of the first bullish wave created

Entry:
H4:

Scenario 1 – wait for the price to break the key resistance level around 0.7450 and then buy the pull-back.
Target 1: 0.7550
Target 2: 0.7630
Stop Loss: below 0.7450

Scenario 2:
Wait for bullish hidden divergence to form on the intraday charts like H1 or even M15. There is a bullish trend line on the H1 chart that could play the role of dynamic support.
Target 1: 0.7440
Target 2: 0.7630
Stop Loss: below 0.7270

Video Explanation

Yours,
Vladimir

Vladimir Ribakov

Following 11+ years of trading experience, trading my own accounts as well as for hedge funds and brokerages, I have decided to fulfill my destiny and to personally mentor Forex and Commodities traders. When I released the “Broker Nightmare” (software that hides trades from brokers) 8 years ago, I found an overwhelming number of frustrated people who genuinely wanted to learn how to trade the Forex market, but instead found themselves scammed and misled. Over the years I have also release other trading systems based on my trading strategies, and met a lot of people on my worldwide Forex seminars. We’ve formed a close Forex community and we meet once or twice a year in various locations in Europe.

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