FX.co ★ NZDUSD Potential For Bearish Continuation | 14th July 2022

On the H4, with price moving below the ichimoku cloud and in a descending trendline, we have a bearish bias that price will continue to drop from the 1st pullback resistance at 0.61364 in line with the 127.2% fibonacci extension and 78.6% fibonacci projection to the 1st support at 0.60333 in line with the 161.8% fibonacci extension and 100% fibonacci projection. Alternatively, price may reverse off the 1st resistance and rise to the 2nd resistance at 0.62039 in line with the overlap swing high.Trading Recommendation

Entry: 0.61364

Reason for Entry:

Pullback resistance, 127.2% fibonacci extension and 78.6% fibonacci projectionTake Profit: 0.60333

Reason for Take Profit:161.8% fibonacci extension and 100% fibonacci projection

Stop Loss: 0.62039

Reason for Stop Loss:Overlap swing high