Weekly Technical Analysis Report 5 November – NZDUSD played out nicely, bearish play seen on GBPUSD
Weekly Technical Analysis Report 5 November – NZDUSD played out nicely, bearish play seen on GBPUSD
1. Last week’s outlook on NZDUSD: Pullback presents an opportunity to sell
Looking at the daily time frame, prices are currently testing a key supply zone with potential for further downside. On the M30 time frame, prices broke below the ascending trend line and is facing bearish pressure from the 34EMA as well. A pullback to test its resistance zone at 0.72010 which lines up with the 78.6% Fibonacci retracement and 61.8% Fibonacci extension presents an opportunity to play the drop to the next support target at 0.71520, in line with the 78.6% Fibonacci retracement. MACD is showing signs of bearish pressure as well.
NZDUSD Charts (Note: Coloured candles represent our projection)
Before:
After:
2. This week’s outlook on GBPUSD: Bearish play seen
On the daily time frame, we are seeing bearish order flow with prices forming lower lows and highs. On the H4 time frame, a pullback to test the resistance zone at 1.3550 which coincides with the 38.2% Fibonacci retracement and 100% Fibonacci extension, presents an opportunity to play the drop with 1.3420 as the next support target. A break below this level could see prices push lower to the next support area at 1.3280, in line with the -27% Fibonacci retracement. The Ichimoku cloud and EMA are showing signs of bearish pressure as well.
Outlook on GBPUSD: Bearish play seen by Salzworth on TradingView.com
