GBPNZD Bearish Opportunity: Short Setup Near Key Resistance
The GBPNZD pair on the 4-hour timeframe is displaying signs of a potential bearish continuation. The price is facing resistance from multiple technical factors, and indicators suggest a possible reversal to the downside. Here's the breakdown:
Key Resistance Levels:
The pair is testing the supply zone around 2.1550–2.1600, which aligns with a recent bearish "3s-Bear" signal.
The price remains below the 50 EMA and 200 EMA, confirming a bearish trend.
Indicators:
The Stochastic RSI is in overbought territory, signaling potential downside momentum.
The price has rejected the resistance zone multiple times, indicating strong selling pressure.
Entry Point: Consider entering a sell position around 2.1550–2.1570 if the price shows rejection at this level (e.g., bearish engulfing candlestick).
Stop Loss: Place the stop loss above the resistance zone at 2.1620 to account for potential false breakouts.
Take Profit:
Target 1: 2.1500 (recent support zone).
Target 2: 2.1430 (major support level below).
Risk-Reward Ratio: This setup offers a favorable risk-reward ratio of approximately 1:2 or better.
If the price breaks and closes above 2.1620, the bearish bias will be invalidated. Monitor price action closely and adjust the trade plan as necessary.
Key Resistance Levels:
The pair is testing the supply zone around 2.1550–2.1600, which aligns with a recent bearish "3s-Bear" signal.
The price remains below the 50 EMA and 200 EMA, confirming a bearish trend.
Indicators:
The Stochastic RSI is in overbought territory, signaling potential downside momentum.
The price has rejected the resistance zone multiple times, indicating strong selling pressure.
Entry Point: Consider entering a sell position around 2.1550–2.1570 if the price shows rejection at this level (e.g., bearish engulfing candlestick).
Stop Loss: Place the stop loss above the resistance zone at 2.1620 to account for potential false breakouts.
Take Profit:
Target 1: 2.1500 (recent support zone).
Target 2: 2.1430 (major support level below).
Risk-Reward Ratio: This setup offers a favorable risk-reward ratio of approximately 1:2 or better.
If the price breaks and closes above 2.1620, the bearish bias will be invalidated. Monitor price action closely and adjust the trade plan as necessary.
Trade active
Trade closed: target reached
Both target reached, profit! now close 2.141!
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.