NZDUSD right on major support, time to go long
Buy above 0.7312. Stop loss at 0.7256. Take profit at 0.7436.
Reason for the trading strategy (technically):
Price is testing major support at 0.7312 (Fibonacci retracement, horizontal overlap support, long term ascending support, bullish price action) and a bounce could occur at this level to push price up to at least 0.7436 resistance (major swing high resistance, Fibonacci extension).
RSI (55) sees a long term ascending support line since November 2017 hold up our bullish momentum really well. We’re starting to see a possible break of this long term support line but our major support remains at 51% and only a clean break of that level would be a precursor that a drop is coming.
Reason for the trading strategy (technically):
Price is testing major support at 0.7312 (Fibonacci retracement, horizontal overlap support, long term ascending support, bullish price action) and a bounce could occur at this level to push price up to at least 0.7436 resistance (major swing high resistance, Fibonacci extension).
RSI (55) sees a long term ascending support line since November 2017 hold up our bullish momentum really well. We’re starting to see a possible break of this long term support line but our major support remains at 51% and only a clean break of that level would be a precursor that a drop is coming.