NZD/USD Sets Sights On 0.8400 As Traders Look Past Bullish Pattern

By DailyFx | August 06, 2014 AAA

DailyFX.com -

Talking Points

  • NZD/USD Technical Strategy: Sidelines Preferred
  • Hammer Fails To Sustain Upside Momentum
  • Break Below 0.8460 Opens 84 US Cent Handle

NZD/USD has suffered a steep decline with a Hammer formation near 0.8460 failing to sustain bullish momentum for the pair. Several short body sessions offered a warning that the pair was struggling to gain ground. With reversal signals now lacking the 0.8400 handle is on the cards.

NZD/USD: May Extend Declines With Bullish Reversal Patterns Lacking

NZD/USD Sets Sights On 0.8400 As Traders Look Past Bullish Pattern

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

The four hour chart paints a contrasting picture to the daily with a Harami pattern offering a glimmer of hope to the Kiwi bulls. The reversal pattern may see an intraday recovery. However, this may be capped by the nearby 0.8480 barrier.

NZD/USD: Harami Offers Hope To The Kiwi Bulls

NZD/USD Sets Sights On 0.8400 As Traders Look Past Bullish Pattern

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.

You May Also Like

COMPANIES IN THIS ARTICLE
Related Forex Analysis
  1. Investing

    NZD/USD: 0.75 Level too Resistive

  2. Forex News

    Euro May Overlook Soft German CPI Data, Swiss Franc Under Fire

  3. Forex News

    Trading Video: Dollar Reaction to FOMC Reserved, S&P 500 Takes a Hit

  4. Forex News

    Strategy Video: Where Does the Dollar Go From Here?

  5. Forex News

    NZD/USD Technical Analysis: Support Now Below 0.73 Mark

Trading Center