Since our last analysis the EUR/NZD pair has been trading upward movement, price rejected from level 1.6412 and tested level 1.6683. The level 1.6412 may be potential end of down correction but there is a still space for more down before we continue upward. I placed Fibonacci expansion to find levels where corrective phase may finish and i got FE 100 % at price 1.6357 and FE 161.8 % at price 1.6030.The more chances for reverse point I see around the price 1.6357, since there is an also good supply zone (blue shape on chart). The current situation on (4H) time frame is that we got buying climax bar and very high activity on up bar which is sign that demand came on market. On a daily chart we can also observe the demand bar on high volume which is sign that we may see very soon up continuation. Since we are in an uptrend according to the daily chart, buying after every down correction looks quite attractive. In our case, buying from price 1.6357 (FE 100 %) and price 1.6030 depend on the market dynamic.
Daily pivot Fibonacci points:
Resistance levels:
R1: 1.6687
R2: 1.6756
R3: 1.6867
Support levels:
S1: 1.6465
S2: 1.6396
S3: 1.6285
Trading recommendation:
Be careful with selling and look for buying opportunities after down corrections. I recommend 1.7100 for short-term up target.
The material has been provided by InstaForex Company – www.instaforex.com
Overview:
Since our last analysis the EUR/NZD pair has been trading upward movement, price rejected from level 1.6412 and tested level 1.6683. The level 1.6412 may be potential end of down correction but there is a still space for more down before we continue upward. I placed Fibonacci expansion to find levels where corrective phase may finish and i got FE 100 % at price 1.6357 and FE 161.8 % at price 1.6030.The more chances for reverse point I see around the price 1.6357, since there is an also good supply zone (blue shape on chart). The current situation on (4H) time frame is that we got buying climax bar and very high activity on up bar which is sign that demand came on market. On a daily chart we can also observe the demand bar on high volume which is sign that we may see very soon up continuation. Since we are in an uptrend according to the daily chart, buying after every down correction looks quite attractive. In our case, buying from price 1.6357 (FE 100 %) and price 1.6030 depend on the market dynamic.
Daily pivot Fibonacci points:
Resistance levels:
R1: 1.6687
R2: 1.6756
R3: 1.6867
Support levels:
S1: 1.6465
S2: 1.6396
S3: 1.6285
Trading recommendation:
Be careful with selling and look for buying opportunities after down corrections. I recommend 1.7100 for short-term up target.
The material has been provided by InstaForex Company – www.instaforex.com
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