AUDNZD reacted off resistance, potential drop!

21 במרץ 2018

AUDNZD is approaching its major resistance at 1.0729 (horizontal swing high resistance, 61.8%, 76.4% Fibonacci retracement, 61.8%, 100% Fibonacci extension) which coincides with the short term descending resistance line. A strong reaction might occur at this level pushing price down to our major support at 1.0634 (61.8% Fibonacci extension, horizontal swing low support). Prices might retrace a little at our intermediate support at 1.0661 (horizontal overlap support, 76.4% Fibonacci retracement) before reaching our major support.

Stochastic (55,5,3) is also approaching its major resistance line at 95%, a good precursor for a potential drop in price should it react off this level.

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