- NZD/USD is choppy in the correction and has offered opportunities both ways.
- Bears looking for a discount, but bulls staying in control.
As per the prior analysis, NZD/USD Price Analysis: Bulls look for correction, but GDP slated, the bulls have indeed corrected the knee jerk sell-off.
”There is every likelihood that a 38.2% Fibo retracement could be realised in the forthcoming sessions, but the New Zealand Gross Domestic product will be important for the kiwi.
A current 38.2% Fibo arrives in the 0.7080s.”
Live markets, hourly chart
As illustrated, the price has indeed corrected to the said target.
In doing so, there were a number of opportunities on the way there, and indeed, ”there’s more than one way to skin a cat.”
On the lower time frames, such as a combination of the 15 and 5 min chart, an opportunity presented itself as follows:
Meanwhile, until the markets firmer on direction, there are arguments either way which should lead to some volatility over the coming sessions.
This opens prospects of a downside extension once the correction has run out of juice.
Therefore, bears could be looking for a discount at this juncture: