NZD/CHF
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NZDCHF: Long Position Swing Trade

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Technicals:

Positive Points:
Quaterly Chart:
スナップショット
スナップショット
NZDCHF and NZDAUD has hit yearly ADR. Whenever this has happened on a quarterly chart after making a new low, a quarterly rally start up for about 2 to 3 quarters at least. So, at some point, shorts will unwind.

NZDCHF has stayed, relatively below the quarterly 50-moving average since the 1980s. So, the 50 quarterly moving average can act as some kind of resistance or mean.
Upon entering this long trade after the engulfing pattern, price has not reached its daily ADR.

Monthly Chart: スナップショット
Engulfing monthly bullish candle pattern at support. There is weekly up regular divergence.
The price has closed above the kijun and the ichimoku tenkan and kijun has crossed up, which suggests the end of the price move down. Also, of note, the price has crossed above both tenkan and kijun simultaneously with and engulfing bullish candle pattern after a short retracement, which is very bullish.



Weekly Chart: スナップショット
Weekly Divergence with a morning star pattern.
Weekly Bottoming Extreme Indicator
Weekly RSI Low with lower low. Whenever this occurs with this instrument, a rally occurs.

Daily Chart: スナップショット
MACD broke above the water line with that engulfing candle.
RSI dipped n' flipped above the 50 level upon the close of the engulfing candle.



Negative Points:
There is cloud resistance overhead, which could cause price to delay its rally or enter a period of consolidation.

Trade Plan:
Long now with a stop below 61.8% fib below the engulfing bullish pattern.
Target: close to 0.6050
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Chart PatternsTrend AnalysisWave Analysis

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