NZD/USD at Key Support Zone: Signals Potential Reversal

10월 31일

The NZD/USD pair has been in a long term downtrend, with multiple ups and downs. Recently, the pair has formed an AB=CD harmonic pattern, reaching point D near a critical support level around 0.595. This level coincides with a strong psychological and technical support zone, which has historically held up well for the pair. The TDI indicator reveals a bullish divergence, suggesting selling momentum may be weakening and indicating a potential upward reversal. Although the overall trend is still bearish, the price is near a significant support zone, opening up the possibility of a corrective move.

Trade Strategy: Buy at Harmonic Support Zone

Entry: 0.596
Stop Loss (SL): 0.5906
Take Profit (TP): 0.6201
Risk-Reward Ratio: 1:4+
Rationale: The 0.595 zone aligns with point D of the harmonic pattern, hinting at trend exhaustion. The TDI indicator strengthens the likelihood of a temporary reversal, aiming to test higher resistance levels. The historical support and the harmonic pattern confluence offer a high-probability setup with strong risk-reward potential.


NZD/USD is positioned at a crucial support level, with technical patterns and indicators pointing towards a potential short-term reversal. A buy setup at support appears favorable, leveraging the harmonic pattern's proximity and divergence signals. Should price breach resistance, selling opportunities near this region may also arise to capture a rejection move. The primary outlook is for a short-term bullish bounce from support, possibly followed by a continuation of the downtrend at higher levels.

Monitor Key Levels at lower time frames and Trade Wisely!