Recently, EUR/NZD has been moving upwards. The price tested the level of 1.6840in a ultra-high volume (buying climax). In the daily time frame, we can observe demand with a very wide bar spread (professional selling). In the daily time frame, I placed Fibonacci expansion levels to find a potential downward station. I got Fibonacci expansion 161.8% at the level of 1.5990 (downward target). There are a few technical reasons behind this great downward pressure: 1. a massive upthrust in an ultra-high volume bar in the background (supply overcame demand); 2. another upthrust bar from the same zone; 3. confirmed double-top formation. In the M30 time frame, we can observe changes in a trend behavior that shifted from bullish to bearish. Watch for potential selling opportunities on rallies.
Fibonacci Pivot Points:
Resistance levels: R1: 1.6845 R2: 1.6990 R3: 1.7225
Support levels: S1: 1.6380 S2: 1.6235 S3: 1.6000
Trading recommendation for today: watch for potential selling opportunities on rallies.