EURNZD has been moving in the bullish channel with a small inclination since the beginning of the year and a range of about 550 pips. Today, the price has reached the upper limit of this channel reaching the level of 1.7290.

EURNZD Daily – pair moves in a bullish channel

On the H4 chart below, the value of the MACD indicator set the local maximum and starts to decrease (change in color to red). The divergence between the price and the MACD oscillator has arisen which, according to the assumptions of the PA+MACD strategy, predicts declines. If this scenario is implemented, the closest support level is in the vicinity of the trend line (dotted red). If, however, the market decided to break out from the channel, the nearest goal may be resistance at the level of 1.7430.

EURNZD – A divergence between price and MACD

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Since 2010, he has been actively involved in the Forex market up to now. He is a supporter of Price Action and using as few indicators as possible. He believes that the simplicity of the system and consistency in its application is the best way to success in financial markets, and lack of patience is the most frequent cause of failure. Interested in classical systems based on Technical Analysis and in psychology - mechanisms that guide human behavior and conditioning decision making in trading.