Trade of the Day: GBP/NZD

By: Dima Chernovolov

GBP/NZD continues to rise inside the 4-hour Rising Wedge chart pattern, which was previously identified by Autochartist. Autochartist rates the quality of this Rising Wedge at the 5-bar level – which is the result of the slow Initial Trend (1 bar), higher Uniformity (67 bars) and strong Clarity (8 bars). GBP/NZD is expected to rise further inside this Rising Wedge.

As can be seen from the daily GBP/NZD chart below – the pair earlier reversed up from the powerful support level 1.9665 (which has been repeatedly reversing the pair from the middle of July). The proximity of this support area and the clear daily uptrend add to the probability GBP/NZD will continue to rise inside this Rising Wedge.