NZDUSD Bearish Pin Bar Forms Off Resistance


nzdusd h4

As I was relaxing in the lounge room I got a notification from the Battle Station to check the NZDUSD 4 hour chart – as a bearish pin bar was detected which is what you seen on the chart above.

The reversal candle formed as a move up into a resistance level terminated as the level held, and pushed the market back down, closing the 4 hour candle as a nice looking rejection candle.

The candle does have a slightly lower close below the open price in the candle, but the level price is bouncing off is pretty solid. It’s the current market structure highs, and the resistance level is very visible from the weekly chart.

We’re moving into the US session, so we could see prices fall lower from this setup before the week closes. For those who missed this one, watch the daily candle close for an end of day bearish trade signal.

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The Forex Guy is an educational Forex trading blog run by Dale Woods who has been a passionate retail Forex trader for over 6 years. Dale trades the Forex market exclusively with price action based methodologies, believing price action trading to be one of the powerful approaches used the market today, and really is the core foundation of any good trading system. Dale also strongly believes in keeping charts clean and keeping things simple, logical and uncomplicated. By making trading decisions straight off the raw price action data, you can ‘bypass’ unnecessary variables like exotic indicators, trading robots or magical pivot levels. Dale enforces the idea that there is hardly any edge trading news and economic data releases and much prefers to make trading decisions straight from the candlestick themselves. ‘The Forex Guy’ is dedicated to providing knowledge to serious and passionate traders who want to learn the art of price action trading, positive geared money management and how to psychologically condition themselves to become a professional trader.

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