EURNZD Up 1 Pips On Hourly Chart, Crosses 50 Day Moving Average; in a Downtrend Over Past 14 Days

Hourly Update

(Last Updated September 7, 2020 15:15 GMT)

Currently, EURNZD’s rate is up 1 pips (0.01%) from the hour prior. The hourly chart shows that EURNZD has seen 3 straight up hours. Regarding the trend, note that the strongest trend exists on the 20 hour timeframe. Price action traders may also wish to note that we see a pin bar candlestick pattern on EURNZD. Given that we see an uptrend on the 20 hourly candle timeframe, and that such candlestick patterns often denote reversals, this may be worth noting. The moving averages on the hourly timeframe suggest a choppiness in price, as the 20, 50, 100 and 200 are all in a mixed alignment — meaning the trend across timeframes is inconsistent, indicating a potential opportunity for rangebound traders.

EURNZD End of Day Recap

Updated 00:30 GMT (04:30 EST)

The back and forth price flow continues for EURNZD, which started today off at 1.76107, down 44 pips 0.25% from yesterday. Relative to other instruments in the Forex asset class, EURNZD ranked 32nd yesterday in terms of percentage price change. Here is a price chart of EURNZD.

EURNZD

EURNZD Technical Analysis

Moving average crossovers are always interesting, so let’s start there: EURNZD crossed below its 50 day moving average yesterday. As for the alignment of the moving averages, well, it’s a bit mixed up; the 20, 50, 100, and 200 do not progress from largest to smallest, or vice versa. The closest is the 50 day average, which is 28.2 pips away. Trend traders will want to observe that the strongest trend appears on the 14 day horizon; over that time period, price has been moving down. Price action traders in particular will want to note that the 30 and 90 day periods appears to show price forming a base; this could indicate that a support/resistance level is developing. Or to simplify this another way, note that out of the past 10 days EURNZD’s price has gone down 6 them.

The View From Around the Web

Of note is that traders in aggregate have opinions on EURNZD, with 14 buy signals on our radar and 1 sell signals. This imputes a buy/sell ratio of 14, which is very bullish. As for the rationale, technical traders seem to be citing the appearance of a fibonacci technical pattern. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

Key Points – Overall Inverted Head & Shoulder Pattern Weekly- 4 Hour Inverted Head & Shoulder Pattern- Potential Target € 1.8000 (Based on FIB Expansion Target & Weekly Pattern Neckline) Entry Confluence: – Double Bottom- Morning Star- Engulfing Pattern- Addition with 4 Hour & Daily Confluence


Forex Frank is a forex analyst and market commentator with nearly two decades of experience in currency trading. Follow him on social media: Facebook | Twitter | Instagram