NZD/USD Demonstrates Resilience In The Absence of Bearish Patterns


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Talking Points

  • Strategy: Flat
  • Clean Ascent May Prove Challenging Amid Downtrend
  • H4 Timeframe Reveals Reluctance From The Bulls

NZD/USD has proven its resilience in recent trade after initially seeing a lackluster response to a Bullish Engulfingformation. An absence of bearish candlesticks opens the potential for further gains. However a clean ascent is likely to be challenging with lingering signs of a downtrend suggesting some negative sentiment remains.

NZD/USD: Shows Resilience In Absence of Bearish Patterns

NZD/USD Demonstrates Resilience In The Absence of Bearish Patterns

Daily Chart - Created Using FXCM Marketscope 2.0 Volume Indicator Available Here

A string of Dojiformations on the four hour chart indicates reluctance from the bulls to lead the pair higher. Yet a void of definitive key reversal patterns suggests a potential pullback is questionable.

NZD/USD: Dojis Highlight Indecision From Traders

NZD/USD Demonstrates Resilience In The Absence of Bearish Patterns

Four Hour Chart - Created Using FXCM Marketscope 2.0 Volume Indicator Available Here

By David de Ferranti Currency Analyst DailyFX

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