The NZD/USD has seen a perfect fourth test of the bullish trend line. Unfortunately there was no pattern that allowed us to go long at this test, but it is still advantageous to have yet another successful test. Now we have a very strong bullish trend line to work with. We will watch for a new bullish patterns to emerge that would allow us to go long near the bullish trend line.
However, the pair is also testing the significant high at point X on the Daily Chart. Therefore, either significant high or the bullish trend line will have to break in the near future. If point X holds and the pair ends up breaking below the trend line, then we will reverse our view and watch for bearish patterns to emerge.
No trade.
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