We hope that you are having a great weekend and you have put the time into use for preparation for the next week.
In the blog post we will be taking a look at AUD/NZD on the weekly, daily and 4 Hour timeframes.
First of all lets look at the Weekly timeframe below where you should be able to see that price has closed as a dragonfly Doji characteristic candlestick which shows buying pressure off the 1.04600 support.
The 1.04600 support has held strong for the past 2 Months. We did see price spike below within the weeks however price has closed above the 1.04600 support on all occasions.
Now going down to the daily timeframe, we can see that price has ranged between the 1.04600 key support previously mentioned on the weekly timeframe and the resistance on the daily timeframe at 1.05350. Price has remained in this area for the past two weeks.
If we are able to see a breakout of this ranging area over the next week to the upside we would like to look for a long position.
So now taking a look at the 4 hour timeframe below you can see that we have highlighted what we would like to see happen.
Over the next week we will be watching for a potential break retest of the 1.05350 resistance for a possible long position to the highlighted target area of 1.06250.
Please note that this is our perspective and you should trade alongside your own analysis.
James at Technical FX