www.varchev.com

NZD/JPY – Opportunity for Short Positioning with Trend

NZD/JPY – Daily

Our expectations: Long-term downward trend and price after correction to main resistance zone. SL: 75,995.

Alternative Scenario: If the price moves above the resistance zone, the negative scenario will be spoiled and more likely to see a rise in the pair’s price.

Commentary: The price has reached a zone of resistance after a short-term consolidation period accompanied by strong Price Action in favor of bears. The resistance zone is formed by a downward diagonal, horizontal resistance and 38.2% Fibonacci on the main trend. 50 and 200SMA are swinging – the trend remains in place. From the point of view of the indicators, DeMarker 14 is in the over-buying area and points down – negative for the price. Sequential counts down 2 – the price is in the downstream wave.

Positioning – For better positioning I will use H4. After the price goes out of consolidation, we are witnessing a lower limit test. The positioning options are currently two. Now, with a small volume and a distant stop (75,995) and after eventual re-entry into the range, testing the main diagonal.

Varchev Finance - NZD/JPY Mid term expectations


 Trader Petar Milanov


Read more:
RECCOMEND WAS THIS POST USEFUL FOR YOU?
If you think, we can improve that section,
please comment. Your oppinion is imortant for us.
WARNING: Any news, opinions, research, data or other information contained within this website is provided as general market commentary and does not constitute investment or trading advice. Varchev Finance Ltd. expressly disclaims any liability for any lost principal or profits which may arise directly or indirectly from the use of or reliance on such information. Varchev Finance Ltd. may provide information, quotes, references and links to or from other sites and blogs and other sources of economic and market information as an educational service to its clients and prospects and does not endorse the opinions or recommendations of the sites, blogs or other sources of information.
Varchev Finance