- January 24, 2022
- Posted by: Tradingshot Articles
- Category: Forex
NZDUSD has been trading within a Channel Down since the start 2021. The RSI on the 1D time-frame has successfully provided very accurate buy signals within a zone that is currently very close to.
The price itself is approaching the bottom (Lower Lows trend-line) of this long-term Channel Down and it resembles (also on RSI terms), the July – August bottom fractal, which made its Lower Low after the sell-off of August 17 – 19. Currently we are on an equally bearish streak since the rejection on the 1D MA50 (blue trend-line), which indicates that the pair is close to making a bottom (Lower Low) and start rising towards the Lower Highs (top) trend-line of the Channel.
Every rebound to a Lower High reached the middle of the 0.618 – 0.786 Fibonacci retracement zone. Our target on the long-term is 0.7000.