GBP/NZD Price Analysis: Bulls look to a 50% mean reversion of daily candle
|- GBP/NZD is moving in on the 10 simple moving average.
- MACD remains in negative territory but can be monitored for a switch of environment.
The bulls are stepping from the post-Reserve Bank induced lows while the pound remains the top-performing G7 currency for the year so far.
The prospects, from a technical standpoint, are outlined below which offers the bulls a confluence of resistance to target as the correction unfolds.
Daily chart
The daily chart's bearish impulse has peaked and the bulls are correcting the move.
There is a confluence of the old support structure that meets the 50% mean reversion of the impulse which can be used as a target.
1-hour chart
There is plenty of work to do yet from the bulls.
A slow steady grind to the upside is what is required in order for the environment to turn bullish and still enable enough room and newly formed structure for the bulls to engage.
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