NZDUSD is trading at 0.6317; the instrument is moving above Ichimoku Cloud, thus indicating an ascending tendency. The markets could indicate that the price may test the cloud’s upside border at 0.6285 and then resume moving upwards to reach 0.6410. Another signal to confirm further ascending movement is the price’s rebounding from the support level and forming Head & Shoulders reversal pattern.
However, the scenario that implies further growth may be canceled if the price breaks the cloud’s downside border and fixes below 0.6255. In this case, the pair may continue falling towards 0.6175. After breaking the neckline and fixing above 0.6345, the price may continue moving upwards. However, bears managed to “defend” the resistance level at 0.6335 so far, because it’s the second time the price is rebounding from it.
Orgin: RoboForex
