Overview:
Recently, EUR/NZD has been moving upwards. The price tested the level of 1.6229 in an average volume. In the daily time frame, I found testing of 200 SMA and 50 SMA. In the H4 time frame, I found a massive volume spike and wide-range bar (buying climax). Buying EUR/NZD at this stage looks risky. I placed Fibonacci retracement to find a potential end of the upward correction and got Fibonacci retracement 38.2% at the price of 1.6180 (successfully held) and Fibonacci retracement 61.8% at the price of 1.6395.
Fibonacci Pivot Points:
Resistance levels:
R1: 1.6090
R2: 1.6120
R3: 1.6170
Support levels:
S1: 1.5990
S2: 1.5955
S3: 1.5910
Trading recommendations: Buying EUR/NZD looks very risky at this stage since the price respected our daily 200 SMA in the H4 and daily time frames. Watch for potential selling opportunities.