- NZD/USD bulls pause in their pursuit of the daily target.
- New bullish structure needs to be formed at this juncture.
As per the earlier analysis, NZD/USD Price Analysis: Bulls seeking out the 0.72 area, the price indeed extended higher to a breakeven scenario.
The price is now in a price pause phase and there are prospects of a continuation leg to the target.
NZD/USD Price Analysis: Overextended bearish impulse: The bulls are taking up the baton and eye an upside correction of the latest bearish impulse.
From a 15-min perspective, bulls are testing resistance while above the 50 SMA and with Momentum testing positive territory.
A break and a retest of the structure would be expected to offer a discount to the bulls targeting the daily resistance.
With a slop loss below the recent lows, a 1:2 risk to reward setup can be established.
Live market, 15 min chart
As noted, the price rallied and to a point where the stop loss could be moved to breakeven.
The price is now consolidating at a new support structure and would be expected to hold and continue higher.
However, the price needs to break higher and form a new bullish structure.
More to come…