NZD/USD Doji On The Daily Signals Hesitation Near 2014 High

By DailyFx | July 08, 2014 AAA

DailyFX.com -

Talking Points

  • NZD/USD Technical Strategy: Sidelines Preferred
  • Dojisignals hesitation from traders near key resistance
  • Absence of reversal signals casts doubt on correction

NZD/USD’s consolidation continues as the pair teases traders near key resistance at 0.8780. While a Hanging Man candlestick warned of a correction for the pair, the bears seemingly lost steam shy of support at 0.8700. With a Doji having formed on the daily signs of indecision from traders is evident, which leaves clear directional signals absent.

NZD/USD: Doji Signals Indecision Near Recent Highs

Please add a description for the image.

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

The four hour chart offers a clearer picture of the recent range between 0.8720 and 0.8790. A Morning Star formation near the range-bottom offered a bullish reversal signal and helped herald a recovery for the pair in yesterday’s trading. An absence of bearish patterns casts doubt on the potential for a pullback over the session ahead.

NZD/USD: Morning Star Pattern Yields Intraday Recovery

Please add a description for the image.

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

By David de Ferranti, Currency Analyst, DailyFX

Follow David on Twitter: @Davidde

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.

comments powered by Disqus
Related Forex Analysis
  1. GBP/USD recovering from Asian lows
    Forex News

    GBP/USD recovering from Asian lows

  2. USD/JPY mellow on the back of USD sell-off
    Forex News

    USD/JPY mellow on the back of USD sell-off

  3. Dollar Cheered in Press, But Data and Fed Chatter Turning
    Forex News

    Dollar Cheered in Press, But Data and Fed Chatter Turning

  4. EUR/USD Downside Targets Favored Ahead of ECB on Slowing Inflation
    Forex News

    EUR/USD Downside Targets Favored Ahead of ECB on Slowing Inflation

  5. US Dollar Technical Analysis: Is a Pullback in the Cards?
    Forex News

    US Dollar Technical Analysis: Is a Pullback in the Cards?

Trading Center