NZDCHF Up 2 Pips Over Past Hour, Came Into Today Up For the 5th Day In A Row; in an Uptrend Over Past 30 Days

Hourly Update

(Last Updated September 22, 2020 0:18 GMT)

Currently, NZDCHF’s rate is up 2 pips (0.03%) from the hour prior. This move is a reversal from the hour prior, which saw price move down. Regarding the trend, note that the strongest trend exists on the 100 hour timeframe. Price action traders may also wish to note that we see a pin bar candlestick pattern on NZDCHF. Given that we see downtrend 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.

NZDCHF End of Day Recap

Updated 00:30 GMT (04:30 EST)

NZDCHF is up 17 pips (0.28%) since the previous day (opening today near 0.61505), marking the 5th day in a row an upward move has occurred. Out of the 40 instruments in the Forex asset class, NZDCHF ended up ranking 8th for the day in terms of price change. Here is a price chart of NZDCHF.

NZDCHF

NZDCHF Technical Analysis

Notably, NZDCHF is now close to its 20, 50, 100 and 200 day moving averages, which may act as price barrier for the asset. 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 63.5 pips away. Volatility for NZDCHF has been contracting over the past two weeks relative to volatility over the past month. Whether volatility reverts will be something to watch. Trend traders will want to observe that the strongest trend appears on the 30 day horizon; over that time period, price has been moving up. Also of note is that on a 90 day basis price appears to be forming a base — which could the stage for it being a support/resistance level going forward. Or to simplify this another way, note that out of the past 10 days NZDCHF’s price has gone up 6 them.

The View From Around the Web

Of note is that traders in aggregate have opinions on NZDCHF, with 5 buy signals on our radar and 3 sell signals. This imputes a buy/sell ratio of 1.67, which is bullish. As for the rationale, technical traders seem to be citing the appearance of a divergence technical pattern. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

NZD/CHF 3 on MT4Divergence 1,4 hrRejecting off trend line Rejecting off Ressitance line Shooting starsRejecting off 750 levelHitting long term 60%Daily Divergence Long term forming Double top Price being trappedTP at 50% short termEntry break of trap


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