- NZD/USD bulls on the way to a 50% mean reversion.
- Ther focus is now on the downside, monitoring for bearish conditions between 0.7200/50.
As per the prior analysis, NZD/USD Price Analysis: Bulls looking to go again towards 0.72 area, the bulls have done just that, scoring a fresh corrective high of 0.7199 overnight.
Prior analysis
As per the prior analysis, NZD/USD Price Analysis: Overextended bearish impulse, the bulls are taking up the baton and eye an upside correction of the latest bearish impulse.
Prior analysis, Daily chart
The bulls have a clear target back to the old support in a 50% mean reversion.
Live market
The daily chart has seen the price reach towards the prior lows and a 50% mean reversion.
However, there is every chance that the price melts from here considering it has already covered the 38.2% Fibonacci. Following a correction, a downside impulse can be expected.
That being said, there is just as every chance that the paid continues to test the bear’s commitments from a 61.8% Fibonacci and prior structure.
In any case, the bears can start to monitor for bearish conditions on both the daily and 4-hour time frames.