NZDUSD Potential for Bullish Rise| 14th October 2022

On the H4, the price is crossing the ichimoku cloud and RSI is rising over 50, we expect that the price may rise to test the 1st resistance at 0.56862, where the 50% fibonacci retracement is. After testing the 1st resistance, the price may drop to the 1st support at 0.55338, which is in line with the swing low. Alternatively, the price may break the 1st resistance and rise to the 2nd resistance could be at 0.58119, which is in line with the 38.2% fibonacci retracement and overlap resistance.

Trading Recommendation

Entry: 0.56862

Reason for Entry: 50% fibonacci retracement

Take Profit: 0.55338

Reason for Take Profit:

Swing low

Stop Loss: 0.58119

Reason for Stop Loss:

38.2% fibonacci retracement and overlap resistance