NZDUSD Rising Channel|Daily Resistance|.50 Fib|Channel Support

4 thg 10, 2020

Evening Traders,

Today’s Analysis – NZDUSD – trading in a rising channel testing its median, a test of daily S/R is probable.
Points to consider,
- Price Action Channel
- Channel Support Confluence (.50 Fibonacci & 200 EMA)
- Daily S/R Resistance
- Oscillators Diverging
- Low Volume

NZDUSD’s immediate price action is trading in a clear rising channel converging with upper daily S/R. This is a key structural resistance that will allow us to have a bearish bias on an initial rejection.

Channel support is in confluence with the .50 Fibonacci and 200 EMA, high probability of the next trade location.

The RSI has a valid bullish divergence that is likely to play out into daily S/R, validation will be upon an influx in volume towards the upside.

Overall, in my opinion, NZDUSD is a valid short with defined risk; price action is to be used upon discretion/ management of trade.

Hope this analysis helps

Thank you for following my work!

And remember,

“Those traders who have confidence in their own trades, who trust themselves to do what needs to be done without hesitation, are the ones who become successful. They no longer fear the erratic behavior of the market. They learn to focus on the information that helps them spot opportunities to make a profit, rather than focusing on the information that reinforces their fears.” Mark Douglas