DailyFX.com -
Market Condition: EUR/NZD Pending Breakout
Bullish Target: ______ 1.5742
Bearish Target: ______ 1.4908
EUR/NZD, Daily Chart with Range
The EUR/NZD is trading in a 278 pip range as seen in the daily chart above. Resistance for the range is found at the March 27 th high at a price of 1.5464. Alternatively support is found at the March 31 st low of 1.5186. Traders may plan for a breakout in the EUR/NZD by setting entry orders to buy the market above resistance, and orders to sell the market below support. This way traders will be prepared for a breakout in either direction when the consolidating range concludes.
Upon a breakout, traders may consider using a 1X extension of the 278 pip range to find both bullish and bearish profit targets. This places initial bullish targets at 1.5742, and bearish targets at 1.4908. Traders may also consider managing risk at the center of the identified range. Using this methodology, breakout traders may create a 1:2 risk/reward ratio.
--- Written by Walker, Analyst for DailyFX.com
To Receive Walkers' analysis directly via email, please SIGN UP HERE
See Walker's most recent articles at his Bio Page .
Contact and Follow Walker on Twitter @WEnglandFX.
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.
Learn forex trading with a free practice account and trading charts from IG .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
