FX.co ★ NZDUSD Bullish bounce | 27th Jan 2022

On the H4, prices are on bearish momentum and abiding to our bearish trendline. We see the potential for a short bounce from our 1st support at 0.66161 in line with 200% Fibonacci projection towards our descending trendline at 1st resistance at 0.67058 which is a graphical overlap. RSI is at a level where bounces occurred previously. Alternatively, our stop loss will be placed at our 2nd support at 0.65889 in line with 161.8% Fibonacci Projection.

Trading Recommendation

Entry: 0.66161

Reason for Entry:200% Fibonacci projection

Take Profit: 0.67058

Reason for Take Profit:

Graphical overlap

Stop Loss: 0.65889

Reason for Stop Loss:

161.8% Fibonacci Projection