Disclaimer : This is not investment advice. Past performance is not an indicator of future results.
Hi Traders! NZDUSD triangle pattern provides buy opportunity for us. A detailed analysis of this bullish setup is as follows:
NZDUSD W1 Chart:
On the weekly chart the price has created a special cycle, currently the price which is moving lower has reached a critical zone formed by the fibo levels of the cycles. In addition to this we also have a bullish divergence that has formed based on the MACD indicator which we may consider as an evidence of bullish pressure. Until this critical zone holds we may now expect retraces to happen here.
NZDUSD D1 Chart:
On the daily chart we have a bullish divergence that has formed based on the MACD indicator which we may consider as an evidence of bullish pressure. In addition to this the price has broken above the most recent downtrend line which we may consider as another evidence of bullish pressure. We may now start looking for bullish setups with more bullish evidences on lower timeframes in order to start looking for the buys.
NZDUSD H4 Chart:
On the H4 chart the price is moving inside a triangle pattern and is respecting it so far. Currently the price has reached the top of this pattern, if we get a valid breakout here we may then start looking for buys with more bullish evidences.
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 buy setup then you can use any setup and strategy that you have in your arsenal to look for bullish moves and join this buy trade.
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