GBPNZD is one of the pairs with highest ATR and it tends to be very fast moving. Its currently in downtrend and we should pay attention to 2 possible points of confluence where it might react. After the stop candle has been formed the pair fell towards L3 zone. Now we can see that MACD signifies bearish trend but that retracement may happen soon. 1.9600-1.9615 ( H3, DPP, 38.2 ) is the first zone where the price might react. In the case of deeper pullback the price might test 1.9666-1.9686 zone ( Breakout-retest/historical sellers, H4 , 50.0 ) and be rejected from the zone. Targets for GBPNZD is 1.9450, 1.9365 (L4) and if it breaks 1.9310 projected channel bottom.
Because GBPNZD has big ATR, its always advised to wait for a pullback before any trades are taken.
The analysis and the article presents Nenad's opinion. Remember, financial trading is highly speculative & may lead to the loss of your funds. Proper risk management is the Holy Grail of trading.
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