Once again EURNZD confirmed that respects the downward channel inside which it moves from July 2016. Monday’s test of the lower limit of the downward channel ended with a long lower shadow on the D1 chart and long upward candle.
Note that the strength of demand is clearly decreasing as the latter close to the upper limit on the chart took the form of long shadows and happened after about the selection of Donald Trump for president of the United States.
Since November 10th EURNZD failed to get above the mid downward channel (inside which moves) or failed to test the upper limit of the channel. At the same time, bears are doing better and manages to hold below 1.5100.
The key level is now 1.5100. If EURNZD be able to overcome this resistance is the next target will be 1.5400 in demand.
