EUR/NZD: Possible end of the correction and new short move down with the trend

05.12.2016 / 22:59

Rating:

EUR/NZD:

Date: 5 December, 2016

H4 Graph: Short Trend

Price found a bottom and made a correction again and now again stopped its move up, exactly below the 200 EMA. This level is important as it coinsides with Fib 50% correction from the previous move lower. Also there is a horizontal and two types of diagonal resistances right here now. Therefore it is possible that the correction is over and price might continue down. 50 EMA is also below 200 ЕМА.

Price Action: Two equal ticks at a level of strong horizontal and diagonal resistance - Possible signal for short

Technical Indicator:

DEM (14) - In the middle of the range

Alternative scenario: If the price moves higher and moves above the two diagonal resistances and the horizontal as well, this will cancel the bearish view.

Price for Entry short around: 1.5100

SL: 1.5650

Jr. Trader - S. Fuchedzhiev

Varchev Traders

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EUR/NZD: Possible end of the correction and new short move down with the trend

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