Since July 2012 bottom, EURNZD has been trading higher, with some major corrections though, but the overall bias has been bullish, as price broke a long term falling wedge in December, which was followed by a successful retest of the wedge before heading higher again, completing a double bottom pattern by breaking above its neckline around 1.60-1.6200 area. That being said, the recent correction towards that neckline area should be considered a mere retest of the broken neckline, the price action has also taken a shape very close to a bullish falling wedge, hinting a potential resumption of the bullish trend.
Interestingly, a break above the falling wedge may push price towards a potential neckline for another gigantic inverted head and shoulders.
Interestingly, a break above the falling wedge may push price towards a potential neckline for another gigantic inverted head and shoulders.