GBPNZD: Potential Bearish Reversal
GBPNZD has been very much in range for the past 2 weeks. At present, price has reached the higher range. I am of the view that we are seeing a possible Bearish reversal.
If you notice, one of the H4 candle(B) registered the highest volume for the week. That for me is a red flag. The second red flag is that this highest volume is at the top of the 2 weeks range. Candle B actually closed close to the middle of candle A. If the high volume is bullish volume, why did it not close higher than candle A(a bullish candle) but in the middle of it? Candle C to me confirmed that it's bearish volume. There wasn't much attempt to go higher but it actually tested the low. The fact that it tested the low enticing the bulls to come out and close at the high of the candle range with low volume tells me that there is little bullish pressure.
With all this in mind, I am of the view that market should be going lower the coming week.
DISCLAIMER:
Any opinions, analyses discussed in this presentation are just my personal opinion and do not constitute investment advice.
I do not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information.
PRICE ACTION only tell half the story. The other key half is VOLUME. For VOLUME drive price.
If you notice, one of the H4 candle(B) registered the highest volume for the week. That for me is a red flag. The second red flag is that this highest volume is at the top of the 2 weeks range. Candle B actually closed close to the middle of candle A. If the high volume is bullish volume, why did it not close higher than candle A(a bullish candle) but in the middle of it? Candle C to me confirmed that it's bearish volume. There wasn't much attempt to go higher but it actually tested the low. The fact that it tested the low enticing the bulls to come out and close at the high of the candle range with low volume tells me that there is little bullish pressure.
With all this in mind, I am of the view that market should be going lower the coming week.
DISCLAIMER:
Any opinions, analyses discussed in this presentation are just my personal opinion and do not constitute investment advice.
I do not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information.
PRICE ACTION only tell half the story. The other key half is VOLUME. For VOLUME drive price.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.