Forex EUR / NZD technical analysis | Our expectations:
End of the prolonged upward trend after a breakout below the main diagonal and the wedge formation. Ability to sell after a 50% correction at the last big bearish bar, which creates preconditions for negative sentiment in the couple. SL 1,6926
The level is strong with many diagonal and horizontal resistances.
The SMA50 and SMA200 are above the price, with an icreasing likelihood of death crossing (strong negative signal).
The last bearish candle is very large and absorbs the previous 10 candlesticks – a strong signal for the expected downward impulse.
Alternative Scenario: Returning the price in the upward price channel will turn sentiment to positive.
Trader Nikolay Georgiev