NZDUSD - Potential Trend Change - Bullish Flag Pattern
Hi Traders
The market was in a big Downtrend, but now it seems to reverse.
Let's go one by one on what happened and what it potentially means:
The market is going down on the left hand side.
It makes lower lows and lower highs.
During this process, a (dashed) Trendline occurs.
After that, a Range (purple Box) developed.
This Range got broken bearish, but shortly after that, a big up-movement occured.
This up-movement even broke the upper Resistance of the box.
This time, we have a higher high and think about it: In a downtrend!
The market starts to retrace in a flag.
It also formed a low - a higher low.
Now it seems to be a Bullish Flag Pattern - near the big important Trendline.
If the market breaks this important Trendline, it simultanouesly breaks other Keylevels and the market will continue bullish.
We recommend to buy as low as possible for the best chances to hit the TP and for a more favourable RTR ratio.
Thanks and successful Trading :-)!
The market was in a big Downtrend, but now it seems to reverse.
Let's go one by one on what happened and what it potentially means:
The market is going down on the left hand side.
It makes lower lows and lower highs.
During this process, a (dashed) Trendline occurs.
After that, a Range (purple Box) developed.
This Range got broken bearish, but shortly after that, a big up-movement occured.
This up-movement even broke the upper Resistance of the box.
This time, we have a higher high and think about it: In a downtrend!
The market starts to retrace in a flag.
It also formed a low - a higher low.
Now it seems to be a Bullish Flag Pattern - near the big important Trendline.
If the market breaks this important Trendline, it simultanouesly breaks other Keylevels and the market will continue bullish.
We recommend to buy as low as possible for the best chances to hit the TP and for a more favourable RTR ratio.
Thanks and successful Trading :-)!