Potential Trade Setup:
Long Position: The updated analysis favors a long position based on the support bounce and potential momentum shift.
Entry: Enter the long trade at the current price level of 90.48.
Stop Loss: Place the stop loss below the support at 90.00 to allow for minor fluctuations while protecting against further downside.
Take Profit: Target the resistance level at 92.46, which aligns with the next major resistance zone.
Analysis Breakdown:
Current Price Action:
NZD/JPY is currently trading at 90.48, close to a recent low where it found support.
The price action indicates a potential reversal from the support level at 90.49, as seen by a bounce on the chart.
Volume Profile:
The volume profile highlights significant liquidity around 90.50, suggesting a strong area of interest where buyers have stepped in previously.
This area may act as a launching point for a potential bullish move.
Support and Resistance Levels:
Support: The critical support level is identified at 90.49, aligning with the current bounce zone.
Resistance: Overhead resistance levels are marked at 91.39, 92.05, and the final target at 92.46.
Take-Profit Level: The suggested take-profit is at 92.46, offering a potential upside of 2.16% from the current level.
Squeeze Momentum Indicator:
The Squeeze Momentum Indicator shows a transition with red bars decreasing, suggesting weakening bearish momentum.
A potential shift to green bars could indicate the start of a new bullish phase.
Long Position: The updated analysis favors a long position based on the support bounce and potential momentum shift.
Entry: Enter the long trade at the current price level of 90.48.
Stop Loss: Place the stop loss below the support at 90.00 to allow for minor fluctuations while protecting against further downside.
Take Profit: Target the resistance level at 92.46, which aligns with the next major resistance zone.
Analysis Breakdown:
Current Price Action:
NZD/JPY is currently trading at 90.48, close to a recent low where it found support.
The price action indicates a potential reversal from the support level at 90.49, as seen by a bounce on the chart.
Volume Profile:
The volume profile highlights significant liquidity around 90.50, suggesting a strong area of interest where buyers have stepped in previously.
This area may act as a launching point for a potential bullish move.
Support and Resistance Levels:
Support: The critical support level is identified at 90.49, aligning with the current bounce zone.
Resistance: Overhead resistance levels are marked at 91.39, 92.05, and the final target at 92.46.
Take-Profit Level: The suggested take-profit is at 92.46, offering a potential upside of 2.16% from the current level.
Squeeze Momentum Indicator:
The Squeeze Momentum Indicator shows a transition with red bars decreasing, suggesting weakening bearish momentum.
A potential shift to green bars could indicate the start of a new bullish phase.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.