NZDJPY - ATTEMPTING TO REVERSE TRENDSymbol - NZDJPY
CMP - 85.40
NZDJPY currency pair is attempting to reverse its downtrend by breaking through the channel resistance. With the recent strengthening of the U.S. dollar, the pair has strong potential to advance.
From a technical perspective, buyers are gaining momentum and providing market support, as evidenced by the rising local lows, which are progressively leading towards the breakout of the channel resistance. The key level to watch in this scenario is the resistance at 85.24, which is broken & serves as a crucial threshold, separating the market into two distinct zones.
Should the bulls manage to secure a close above 85.24, a short-term rally towards 86.13, and potentially 86.90, may unfold.
Key support levels: 84.50, 84.00
Key resistance levels: 85.24, 86.13, 86.90
Initial testing of the resistance at 85.24 could result in a brief pullback due to liquidity above this level. This pullback may be directed towards the previously broken channel resistance. However, the primary focus remains on a sustained price consolidation above 85.24, as this would confirm that the bulls are maintaining control of the market and are poised for further upward movement.
Long