This trading plan carries a bullish bias aimed at capitalizing on a probable upward continuation after a well-defined pullback zone. The core idea is to wait for a pullback into a high-probability entry area derived from the Golden Ratio level of the Fibonacci retracement. This Fibonacci zone acts as a natural retracement level where institutional buyers may seek to accumulate positions.
Within this Fibonacci pullback zone lies a Fair Value Gap (FVG) — a price imbalance indicating an area that price tends to revisit and fill during corrections. This FVG acts as an additional confluence factor, strengthening the demand and support within this zone.
The overall expectation is that after this pullback and order flow confirmation, price will resume the upward trajectory toward the Base 1 supply zone at the higher price level marked on the chart. This Base 1 zone represents a strong resistance zone or target where traders can plan their exit or partial profit-taking.
From a fundamental perspective, the trade is supported by a weakening USD, which generally favors NZD/USD strength. This fundamental factor complements the technical Smart Money Concepts setup, increasing the confidence in a bullish continuation.
Key Points:
Bias: Long, targeting upward momentum continuation after pullback.
Entry Zone: Pullback zone at Golden Ratio Fibonacci level with FVG inside
Confluence: FVG provides demand zone strength and better entry quality.
Target: Move to Base 1 supply/resistance zone.
Fundamental Support: Weak USD supports NZD strength.
Trading Concept: Smart Money Concepts focusing on institutional order blocks, Fibonacci retracement, and liquidity gaps.
Within this Fibonacci pullback zone lies a Fair Value Gap (FVG) — a price imbalance indicating an area that price tends to revisit and fill during corrections. This FVG acts as an additional confluence factor, strengthening the demand and support within this zone.
The overall expectation is that after this pullback and order flow confirmation, price will resume the upward trajectory toward the Base 1 supply zone at the higher price level marked on the chart. This Base 1 zone represents a strong resistance zone or target where traders can plan their exit or partial profit-taking.
From a fundamental perspective, the trade is supported by a weakening USD, which generally favors NZD/USD strength. This fundamental factor complements the technical Smart Money Concepts setup, increasing the confidence in a bullish continuation.
Key Points:
Bias: Long, targeting upward momentum continuation after pullback.
Entry Zone: Pullback zone at Golden Ratio Fibonacci level with FVG inside
Confluence: FVG provides demand zone strength and better entry quality.
Target: Move to Base 1 supply/resistance zone.
Fundamental Support: Weak USD supports NZD strength.
Trading Concept: Smart Money Concepts focusing on institutional order blocks, Fibonacci retracement, and liquidity gaps.
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.