Candlestick analysis of NZD / USD for July 10

4h

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The bear formation of the "Falling Star" and the release of quotations from the Fibo level of 200.0% - 0.7289 made it possible to turn in favor of the US dollar and begin a decline in the direction of the correction level of 161.8% - 0.7199. The formation of a bull candle on July 10 will allow traders to expect the pair to turn in favor of the New Zealand currency and return to the Fibo level of 200.0%. Such a formation will be identified as a trend, based on the direction of the equidistant channel. Strengthening the rate above the correction level of 200.0% will increase the chances for further growth in the direction of the next Fibo level of 261.8% - 0.7435.

The Fibo grid is built on extremes from April 24, 2017 and May 11.

Daily

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Another bovine candlestick formation "Harami", formed on a 24-hour chart, suspended the drop in quotations for a while. Passing a pair of low "Harami" or a bear formation will allow the expected continuation of the fall of quotations in the direction of the corrective level of 23.6% - 0.7172. "Harami" can also work in favor of the New Zealand currency, but so far no reversal. The formation of a new, stronger, bullish formation will again allow us to expect a turn in favor of New Zealand's currency and some growth towards the correction level of 0.0% -0.7483.

The Fibo grid is built on extremes from August 24, 2015 and September 8, 2016.

Specification:

Weak candle formations will be marked by the usual text and the size of the arrows.

Strong candle formations will be marked by a more bold text and a larger size of arrows.

The material has been provided by InstaForex Company - www.instaforex.com