Potential bullish setup on GBPNZD

Aug 30, 2022

As you can see price has been ranging between the 2.03084 and 1.88639 level over the past 2 years on GBPNZD. These levels have acted as major support and resistance in the past and have always preceded a major move to the up or downside. We can now see that price has rejected the 1.88639 zone for a fourth time very aggressively which tells us that the bulls have started to take back control over the markets. We could thus see price come up and retest our descending trendline for a third touch in the near future. If price breaks out and holds the 0.236 Fibonacci retracement level as support we could see price rally to the 2.04900 level.