Daily Forex Update: NZD/JPY

Posted on April 19, 2016 by Autochartist wrote in Market Analysis.

By: Dima Chernovolov

As you can see from the following chart – Autochartist recently identified the clear Down Channel chart pattern on the daily NZD/JPY charts. The overall Quality of this chart pattern is measured by Autochartist at the 5 bars level which reflects the average Initial Trend and Uniformity (both rated at the 5 bar level) and higher Clarity (6 bars). The pair is expected to rise further toward the upper resistance trendline of this Down Channel (standing near the resistance level 77.50)

As you can see from the daily NZD/JPY chart below – the bottom of this Down Channel formed when the pair reversed up from the major long-term support level 73.40, which has been reversing the price from last August. The proximity of this support level heightens the probability the pair will continue to rise toward the upper resistance trendline of this down channel in the coming trading sessions.