Hey guys! For the first week in the month of June, there sure is a lot of market adjustments expected due to the fact that it serves as the start of a new month candle as well. To prep everyone for some quality trading opportunities this week, I will be sharing my views on GBPNZD as the Trade of the Week.
GBPNZD – D1 Timeframe
GBPNZD on the daily timeframe clearly broke above the previous high at the highlighted region (based on the horizontal arrow), creating an impulse move that I have carefully used to map out a Fibonacci retracement analysis. The Fibonacci retracement tool reveals that price may be expected to experience a bullish rally based on the overlap of the demand zone and the key Fibonacci levels. The presence of a trendline support adds further confirmation to the bullish sentiment.
GBPNZD – H4 Timeframe
GBPNZD on the 4-hour timeframe as seen on the chart is currently printing a QMR pattern. The two horizontal arrows depict the points of the sweep and the break of structure. In line with the higher timeframe sentiment (from the daily timeframe chart above), I believe the presence of a QMR patter on the 4-hour timeframe pretty much completes the puzzle.
Analyst’s Expectations:
- Direction: Bullish
- Target: 2.11600
- Invalidation: 2.03258
.
CONCLUSION
The trading of CFDs comes at a risk. Thus, to succeed, you have to manage risks properly. To avoid costly mistakes while you look to trade these opportunities, be sure to do your due diligence and manage your risk appropriately.
