I’m interested in a short on the EURNZD, playing off the 1.6700 level.
We saw 1.6700 provide significant support throughout much of 2017. And then in six weeks, price fell a whopping 1300 pips back down to this vital zone from the highs back in early October.
Is price bouncing here, or is it consolidating before another push lower? I’m going to let the channel I’ve drawn in decide for me. If price starts closing above the upper double blue trendlines, the short is off the table for me. Alternatively, if price remains in the channel-structure and eventually breaks down lower, I’ll be looking for a short down to 1.6600.
At 1.6600, the process repeats itself, and I’ll be looking for signs of continued weakness to trade even lower.
We saw 1.6700 provide significant support throughout much of 2017. And then in six weeks, price fell a whopping 1300 pips back down to this vital zone from the highs back in early October.
Is price bouncing here, or is it consolidating before another push lower? I’m going to let the channel I’ve drawn in decide for me. If price starts closing above the upper double blue trendlines, the short is off the table for me. Alternatively, if price remains in the channel-structure and eventually breaks down lower, I’ll be looking for a short down to 1.6600.
At 1.6600, the process repeats itself, and I’ll be looking for signs of continued weakness to trade even lower.