EUR/NZD: 01.03.2017
Timeframe: H4
Presence of a downtrend and short-term consolidation. The price has formed a triangle being punctured down and is now adjusted to the levels of the lower diagonal coinciding with long diagonal - negative price formation. The price is 38.2% Fibonacci retracement of the latest bearish wave.
Price Action: Formed bearish pin bar of resistance levels.
Indicators: Dem (14) rotates in the area of ultra-purchases - a negative signal. 50 SMA below the 200 SMA - a negative signal. The price of 200SMA and formed a bearish pin bar - a negative signal.
Input options are two: aggressive and conservative at the moment, while it is necessary to wait for the correction to 50% of the previous bar and then enter. Correction to 50% of pins would give us a better market positioning and shorter stop.
SL: 1.4895
Alternative scenarios - if the price crosses above the diagonal and horizontal resistances and hold there, the negative formation will be spoiled and are more likely to observe an increase in the price of the euro against New Zealander.
Jr_Trader_P_Milanov
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