NZD/CAD Price Analysis: Bulls seeking a continuation of the late Oct rally
- NZD/CAD bulls remain in the driving stet as price extends above key support.
- 0.8900 area remains on the map on a break of key resistance.
NZD/CAD has started out the week with a bullish bias in what is shaping up to be a potential bullish continuation of the 21st October impulse in a story that was first covered here: NZD/CAD Price Analysis: Bulls look for a break of critical resistance.
An update of the trade suggestion and analysis was made here:
For a recap, the prior analysis explained that the pair could extend to at least a test of the -272% Fibonacci of the Oct 28 correction’s tops.
A swing trade setup was illustrated as follows:
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4-hour chart
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Entry 1:3 R/R
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The buy limit order was triggered and the price subsequently rallied.
It was explained that a pullback was expected but the stop loss could be moved to breakeven as the price had formed a new support structure.
Update
The price has, so far, held above the breakeven point and is building towards a break of the Oct 28 highs.
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Author
Ross J Burland
FXStreet
Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.
