NZDUSD – Kiwi/dollar pin bar false-break sell signal
The last time we discussed the NZDUSD, we mentioned that we were waiting to see if price would challenge key resistance up near 0.8105 and form a price action sell signal near that level. Today, the market tried to continue higher, pushing above key resistance near 0.8105 and hitting a high of 0.8162 before reversing and ending the day significantly lower, at 0.8066. As we can see in the chart below, an obvious pin bar reversal signal formed today, showing a clear false break of the key resistance near 0.8105 that indicates this market might be getting ready to rotate lower, back down toward support. We see the potential for a move down toward support near 0.7935 – 0.7900 or lower from today’s pin bar setup, with the key support of the trading range not seen until down between 0.7760 – .07687 area.