Hi Traders! NZDCHF technical analysis and forecast is here. We do our analysis on the MetaTrader4 platform (MT4). Some very interesting and useful tips and hacks about the MT4 platform could be found here. . 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! This analysis will be based on price action trading (if you want to learn about price action trading, you can watch this video here).
NZDCHF H4(4 Hours) Chart Analysis – Bullish Trend Patten, Strong Support Zone, Bullish Divergence, Downtrend Line Breakout, ADX Indicator
On the H4 chart, the price which is moving higher has created a bullish trend pattern, which we may consider as evidence of bullish pressure. Generally, after a bullish trend pattern, we may expect corrections and then potential continuation higher. Also while measuring the bullish trend pattern using the fibonacci retracement tool we have a strong support zone that has formed based on the 38.2%(0.60785) – 50%(0.60458) fibonacci retracement zones. The price which was moving lower reached this strong support zone, respected it, and is currently moving higher. We also had a continuing bullish divergence between the first low that has formed at 0.60849 and the second low that has formed at 0.60382 based on the MACD indicator which we may consider as evidence of bullish pressure. Also, the price which is moving higher has currently broken above the most recent downtrend line and is holding above it, we may consider this as another evidence of bullish pressure. In addition to this the ADX indicator gave a bullish signal at the cross of +DI (green line) versus -DI (red line) and the main signal line (silver line) reads value over 25, we may consider this as yet another evidence of bullish pressure. So based on all this, my view is bullish here and I expect the price to continue higher further.
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