Talking Points
- NZD/USD Technical Strategy: Flat
- Bearish Formation Finds Little Follow-Through
- Doji On H4Suggests Indecision In Intraday Trade
NZD/USD has seen disappointing follow-through to a bearish candlestick formation. The Bearish Engulfing pattern has failed to receive confirmation from a successive-down day. This may suggest the Kiwis’ directionless sideways drift may continue. A break of the nearby 0.7730 floor would be required to offer a bearish bias and open the next leg lower for the currency.
NZD/USD: Bearish Pattern Sees Lackluster Response
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
The four hour chart is showing signs of indecision from traders in the form of a Doji formation. Yet an absence of more definitive reversal signals leaves a clear directional bias lacking.
NZD/USD: Doji Suggests Indecision In Intraday Trade
Four Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
Follow David on Twitter: @DaviddeFe
To receive David’s analysis directly via email, please sign up here.
Learn how to read candlesticks to help identify trading opportunities with the DailyFX Candlesticks Video Course.
original source
