GBP/NZD Up 2 Pips in Last Hour, Makes Big Move Relative to Two Week Trend; Came Into Today Up For the 3rd Straight Day

Hourly Update

(Last Updated May 2, 2022 1:41 GMT)

At the time of this writing, GBPNZD’s rate is up 2 pips (0.01%) from the hour prior. This move is a reversal from the hour prior, which saw price move down. As for the trend on the hourly timeframe, we see the clearest trend on the 50 hour timeframe. Price action traders may also wish to note that we see a pin bar candlestick pattern on GBPNZD. Given that we see an uptrend on the 20 and 10 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 are all in a mixed alignment — meaning the trend across timeframes is inconsistent, indicating a potential opportunity for rangebound traders.

GBPNZD End of Day Recap

Updated 00:30 GMT (04:30 EST)

GBPNZD is up 266 pips (1.38%) since yesterday (opening today near 1.9469), marking the 3rd straight day an upward move has occurred. Out of the 39 instruments in the Forex asset class, GBPNZD ended up ranking 2nd for the day in terms of price change. Let’s take a look at price chart of GBPNZD.

GBPNZD

GBPNZD Technical Analysis

Notably, GBPNZD crossed above 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 200 day average, which is 100.5 pips away. Trend traders will want to observe that the strongest trend appears on the 90 day horizon; over that time period, price has been moving down. It should be noted, though, that a trend in the opposite direction, going up, exists on the 30 day timeframe. For additional context, note that price has gone up 5 out of the past 10 days.

The View From Around the Web

Not much in terms quality buy/sell signals we’re seeing for GBPNZD; just 2 sell signals and 2 buy signals. This imputes a buy/sell ratio of 1, which is neutral. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

A short trade opportunity has just presented itself on the GBPNZD trading chart!This is evident from the bearish inverted pin bar candlestick which closes just below the 1.94773 daily horizontal resistance level and signals a rejection of the price level.A stop at 1.95186 (about 45.1 pips) and a target at 1.92400 (about 233.5 pips) could see you in the region of a 5.18 reward-to-risk ratio.As always, “Look first, then leap.”Happy trading!Your FX Plug