NZD USD short in H1

21 ביולי 2022

In the daily chart we see an "inverted hammer" candle pattern which should be considered as a bearish sign for the chart. Moreover the chart was on a bearish rally and it has consolidated its previous downtrend more than 50%. So we go for a lower time frame which is 1 hour and we look for down trend. If we look propper we will see a head and shoulder chart pattern and a broken trend line. The combination of these three signs will convince us to open a short position.