NZD/USD has been bearish upon producing a double top on the daily chart. Last Friday’s daily candle came out as a bearish engulfing candle. Thus, the sellers may keep their eyes on the pair to look for short opportunities today. The H4 and the H1 chart look good for the sellers too. Thus, the pair may produce another bearish daily candle today.
Chart 1 NZD/USD Daily Chart
The chart shows that the price had a rejection at the level of 0.61400 twice. At the last rejection, the price produced a bearish engulfing candle. Since then, the price has been bearish on the daily chart. Last Friday’s candle came out as a bearish candle. Thus, the price may get more bearish below Friday’s lowest low at 0.59180. The chart shows that the price may find its next support around 0.57700.
Chart 2 NZD/USD H4 Chart
The H4 chart shows that the price after being bearish had a bounce at 0.59200. The level has been a strong level of support, where the price had a bounce several times. The price has been having an upward correction. The level of 0.59650 may work as a level of resistance. If the level produces a bearish reversal candle, the sellers may go short below the level of 0.59200. The price may find its next support around 0.58600. In case of a bullish breakout at 0.59200, the price may head towards the level of 0.60550.
Chart 3 NZD/USD H1 Chart
The H1 chart shows that the price made a bearish breakout at 0.59600. The price upon finding its support has been making a bullish correction. The level of 0.59600 has been working as a level of resistance so far. The level produces a bearish pinbar followed by a doji candle. The price may get bearish anytime and make a bearish breakout at the swing low. If the price makes a bearish breakout at 0.59200, the sellers may drive the price towards the South with more bearish momentum. The price may find its next support around 0.58800. On the contrary, if the price makes a bullish breakout at 0.59600, it may find its next resistance around 0.60550.
Since the H1 chart suggests that the Bear may dominate in the pair as far as the Double Top is concerned. Moreover, the H4 and the H1 chart look good for the Bear as well. Thus, the pair may end up producing another bearish daily candle today. This may attract more sellers, and eventually, the pair may remain bearish in the daily chart in the coming days.