Title
NZDUSD H4 | Falling to Overlap Support
Type
Bullish Bounce
Preference:
Price could fall towards the pivot point of 0.6168 which is an overlap support that aligns with the 38.2% Fibonacci retracement level and potentially reverse from here; we could see momentum carry price up to its 1st resistance at 0.6215 which is a pullback resistance that aligns close to the 161.8% Fibonacci extension level.
Alternative scenario:
If price breaks below the pivot point, it could hit the 1st support at 0.6134 which is a pullback support that aligns close to a confluence of Fibonacci levels i.e. the 23.6% and the 61.8% Fibonacci retracement levels.
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Desmond Leong runs an award-winning research firm (The Technical Analyst finalists 2018/19/20 for Best FX and Equity Research) advising banks, brokers and hedge funds. Backed by a team of CFA, CMT, CFTe accredited traders, he takes on the market daily using a combination of technical and fundamental analysis.