NZDUSD selling on rallies possible due to failed bullish pennant

1 min read

2015-05-19_10-59-51

NZDUSD is retracing on intraday timeframes but is still in downtrend after breaking FAILED BULLISH PENNANT. In the context of overall trend NZDUSD can be perceived as bearish and the retracement can be used to fade the upmove. 0.7430-40 zone is showing a confluence (61.8, previous swing, H4 ) and the rejections from the zone could pull the price down to 0.7360 and 0.7320. In the case of bigger retracement 0.7470 zone (retail gap, 88.6) should also provide selling opportunities towards 0.7320 but then we could also consider 0.7250 as in the context of the trend- the bigger retracement is, the bigger the move is.

NZDUSD should stay below 0.7515 for the bears to dominate.

read the original article on AdmiralMarkets.com

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