FX Reversals: NZDUSD Moves to Resistance
Talking Points
-
NZDUSD
Tests Range Resistance
- S3 Marks Range Support at .8352
- Price Over .8049 Signals a Market Breakout
GBPUSD
30min Chart
(Created using FXCM’s Marketscope 2.0 charts)
After a sharp decline of the NZDUSD going into yesterdays close, the pair has remained range bound in today’s early morning U.S. session. Price first moved to S3 range support at .8352, before reversing back towards key lines of resistance. At this time, price is still below the R3 camarilla pivot near .8390. This point is currently acting as range resistance creating a 38 pip trading range for the day. As long as price continues to hold below this value, reversal traders may look for
prices
to return back down to support.
Traders should be aware that a price breakout above R4 or below S4 would signal a conclusion to today’s range bound environment. A move above R4 at .8409 would suggest a reversal against the pair’s current uptrend, as the NZDUSD would be working towards a higher high. Likewise a break below S4 support at .8333, would signal a return to the pair’s current downtrend. In either scenario, traders may select to conclude any range positions while looking for orders with the markets new direction.
Are you unfamiliar with
camarilla pivots
and trading intraday market reversals? Increase your trading education with ! You can continue learning and work on your trading education
HERE
.
Then, to practice setting up orders using Camarilla Pivots, register for a
FREE Forex demo with FXCM
. This way you can develop your scalping techniques while tracking the market in real time.
Click HERE to Register Now
—Written by Walker England, Trading Instructor
To contact Walker, email
. Follow me on Twitter @WEnglandFX.
To be added to Walker’s e-mail distribution list,
CLICK HERE
and enter in your email information.
Previous Market Setups:
FX Reversals: USDCAD Morning Breakout Update
FX Reversals: USDCAD Tests Support
FX Reversals: EURGBP Breaks Final Support
FX Reversals: EURUSD Morning Reversal Update
FX Reversals: AUDUSD Trading Range Update
