Hi Traders! NZDCHF critical zones provide bearish opportunity for us. A detailed analysis of this sell setup is as follows:
NZDCHF D1 Chart:
On the daily chart we had a special or triple cycle which has completed itself. Currently it looks like a retrace is happening in the form of double wave up towards the 38.2% – 50% fibo retrace zone. Once the price reaches this zone, we may then look for evidences of bearish reversal on lower timeframes and then we may start looking for sells.
NZDCHF H4 Chart:
On the H4 chart we have two critical zones that has formed based on the fibo retrace and fibo expansion levels of the cycles. We also have bearish divergence that has formed which we may consider as an evidence of bearish pressure. The price has currently reached the first critical zone and until this zone holds we may look for bearish setups with bearish evidences in order to join the bears. Alternatively if the price moves higher then the next area to look for bearish setups with bearish evidences would be the second critical zone.
Note: It is always recommended to look for confirmations before you jump into any trade. If you are not sure about how to trade this 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.
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Yours to your success