FX.co ★ NZDUSD Potential For Bearish Continuation | 13th May 2022

On the H4, with price moving below the Ichimoku cloud, we have a bearish bias that price will drop from our 1st resistance at 0.63622 where the 127.20% Fibonacci extension and horizontal swing high resistance is to our 1st support at 0.62059 in line with the 227.2% Fibonacci projection and 161.8% Fibonacci extension. Alternatively, price may break 1st resistance structure and head for 2nd resistance at 0.65506 in line with the horizontal swing high resistance and 100% Fibonacci retracement.

Trading Recommendation

Entry: 0.63622

Reason for Entry:

127.20% Fibonacci extension and Horizontal swing high resistance

Take Profit:0.62059

Reason for Take Profit:227.2% Fibonacci projection and 161.8% Fibonacci extension

Stop Loss: 0.65506

Reason for Stop Loss:

Horizontal swing high resistance and 100% Fibonacci retracement