Pending Short NZD/USD - Consolidation Channel
Blue lines = Consolidation Channel
Based on how price moved in April, it looks like there's a possible consolidation channel in development. Thus, there's a pending short around the 0.874X level (previous high). Consider exiting if price closes above 0.8750 and target the low 0.85XX region.
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Why the alternate scenario likely won't develop
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Red lines = Expanding Triangle
Based on how price moved previously in the beginning of the expanding triangle, the expected path is drawn in red. The move down was on point but didn't quite hit the support level which is fine since it's close enough but on the way up, price stalled around 0.86 instead of moving up to the hit the trend line again (around 0.88). Since the up move was not achieved, I'd say the expanding triangle is no more and price is starting to develop a new consolidation (sideways) channel.
Based on how price moved in April, it looks like there's a possible consolidation channel in development. Thus, there's a pending short around the 0.874X level (previous high). Consider exiting if price closes above 0.8750 and target the low 0.85XX region.
------------------------------------------
Why the alternate scenario likely won't develop
------------------------------------------
Red lines = Expanding Triangle
Based on how price moved previously in the beginning of the expanding triangle, the expected path is drawn in red. The move down was on point but didn't quite hit the support level which is fine since it's close enough but on the way up, price stalled around 0.86 instead of moving up to the hit the trend line again (around 0.88). Since the up move was not achieved, I'd say the expanding triangle is no more and price is starting to develop a new consolidation (sideways) channel.
כתב ויתור
המידע והפרסומים אינם אמורים להיות, ואינם מהווים, עצות פיננסיות, השקעות, מסחר או סוגים אחרים של עצות או המלצות שסופקו או מאושרים על ידי TradingView. קרא עוד בתנאים וההגבלות.