Hi Traders! NZDJPY Technical Analysis And Short Term Forecast is here. We do our analysis on the MetaTrader4 platform (MT4), some very interesting, 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!
On the H4 chart, we could see that the price which was moving lower has created a bearish trend pattern in the form of three lower highs, lower lows we may consider this as evidence of bearish pressure. Generally, after a bearish trend pattern, we may expect corrections and then further continuation lower. Currently, it looks like the correction that we are looking for is happening in the form of double wave to the upside. In addition to this, we had a bearish hidden divergence that has formed between the first high that has formed at 85.646 and the second high that has formed at 84.754 based on the MACD indicator, followed by a continuing bearish divergence between the first high that has formed at 84.754 and the second current high that has formed at 85.029 based on the MACD indicator, we may consider these as other evidences of bearish pressure. In addition to this, based on the Stochastic Oscillator we could see that the price has reached its extreme and is bouncing lower, which we may consider as yet another evidence of bearish pressure. Also, we had two strong support zones and the price which was moving lower has broken below these zones and holding below them. We may consider this as yet another evidence of bearish pressure. Currently these two strong support zones are acting as two strong resistance zones for us. Until both these resistance zones hold my short term view remains bearish here and I expect the price to move lower further.
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.
You will also find a pretty extensive database of educational materials here in the blog – just use the search or check out the Forex Education section above.
Not sure how to enter a trade? Spot reversals (bounces)? Not sure how to spot breakouts?
I invite you to
And improve your trading with us.
Also, you can get one of our strategies free of charge. You will find all the details here
If you have any further questions, don’t hesitate to drop a comment below!
Happy Trading!
Arvinth Akash
Traders Academy Club Team
Hi Traders! Arvinth here from the Home Trader Club team. The weekly summary and, review of November…
U.S. stock index futures were subdued on Thursday, as AI-heavyweight Nvidia's revenue forecast failed to…
Hi Traders! Litecoin short term forecast and technical analysis is here. We do our analysis…
Hi Traders! NASDAQ short term forecast follow up and update is here. On September 4th…
Hi Traders! EURCAD technical analysis and short term forecast is here. We do our analysis…
Hi Traders! GBPNZD short term forecast update and follow up is here. On Sep 3rd,…
