NZDUSD is ready to soar to the previous high at 0.7200. The resistance level at 0.7200 ended the bullish rally initiated on October 13th, 2021. There was consolidation at the resistance zone, followed by a market direction change. On the 11th of November, a breakout caused the bears to swing low. The market dived rapidly, clearing previous lows with ease. The bears were in total control of the market.
The bulls’ buying pressure was noticed at 0.6710. The bearish run paused in the zone. The bullish candles marched up to 0.6850. The bulls were ready to soar to the previous high at 0.7200. Unfortunately, they were met with resistance at 0.6850. The breakout wasn’t successful. The bears drove the market impulsively to 0.6540.
The demand zone prompted buying in the market. The market ascended to the previous demand zone. The previous demand zone acted as resistance at 0.6710. A shadow was formed above the bearish candle on the 10th of February after the previous demand zone was struck.
The Moving Averages period Nine crossed the Moving Average period Twenty-One to the upside. The previous low on the 7th of February was not violated upon the rejection at 0.67100. The bulls were ready to soar to new highs as the Moving Average supported the new uptrend.
NZDUSD Short Term Trend: Bullish
The market cleared the major resistance zone at 0.6850 on the 7th of March. The market retraced into the ascending trend line and the two Moving Averages to gain support. This has caused the resistance zone to be breached a second time. NZDUSD is ready to soar to the previous high at 0.7200. The current retracement on the four-hour chart is expected to be a retest to bring in more buyers into the market.
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Azeez Mustapha is a trading professional, currency analyst, signals strategist, and funds manager with over ten years of experience within the financial field. As a blogger and finance author, he helps investors understand complex financial concepts, improve their investing skills, and learn how to manage their money.
