FX.co ★ NZDUSD Potential for Bearish Dip | 21th Feb 2022

On the H4 timeframe, prices are on bearish momentum and abiding to a daily descending trendline. We see potential for a dip from our 1st resistance at 0.67337 in line with 100% Fibonacci extension and descending trendline towards 1st support at 0.66347 in line with 61.8% Fibonacci retracement. RSI are at levels where dips previously occurred, further supporting our bearish bias. Alternatively, our stop loss will be placed at 0.67757 in line with 127.2% Fibonacci extension.

Trading Recommendation

Entry: 0.67337

Reason for Entry:100% Fibonacci extension and descending trendline

Take Profit: 0.66347

Reason for Take Profit:

61.8% Fibonacci retracementStop Loss: 0.67757

Reason for Stop Loss: 127.2% Fibonacci extension