💱 NZDUSD - False break of a strong resistance level

10 mag 2023

The NZDUSD is making a retest of the resistance at 0.6379 a month after its formation.
It will be difficult for the price to overcome such level from the first time, hence, after the formed false breakdown we should expect a pullback.

TA on the high timeframe:
1) The chart on the right cannot show us any key trend. The price is in a sideways range, hence it is possible to both buy and sell.

TA on a low timeframe:
1) The price makes a false break of the resistance at 0.6379.
2) The false breakout may be followed by a strong pullback
3) The key support area which the price may try to reach is 0.63360 or 0.62970.
4) A resistance retest could form and if the price does not break it, a correction could start.

Key support: 0.6327, 0.62900
Key resistance: 0.6379