NZDCHF closes higher for the 4th day in a row
New Zealand Dollar/Swiss Franc (NZDCHF) Technical Analysis Report for Sep 16, 2020 | by Techniquant Editorial Team
Moving higher for the 4th day in a row, NZDCHF ended Wednesday at 0.6123 gaining 26 pips (0.43%). Closing above Tuesday's high at 0.6106, the market confirmed its breakout through the previous session high after trading up to 31 pips above it intraday.
Daily Candlestick Chart (NZDCHF as at Sep 16, 2020):
Wednesday's trading range has been 47 pips (0.77%), that's slightly below the last trading month's daily average range of 57 pips. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for NZDCHF.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on Monday, NZDCHF gained 0.15% on the following trading day.
Although still in a long-term uptrend, the short and medium-term trends both turned bearish already.
Buying might speed up should prices move above the close-by swing high at 0.6149 where further buy stops could get triggered. As prices are trading close to September's high at 0.6186, upside momentum might accelerate should the forex pair mark new highs for the month.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "4 Consecutive Higher Closes" stand out. Its common bullish interpretation has been confirmed for NZD/CHF. Out of 84 times, NZDCHF closed higher 54.76% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the long side has been after four trading days, showing a win rate of 57.14% with an average market move of 0.12%.
With four out of the seven Major FX Pairs closing higher today, the ones that stand out on the positive side are GBPUSD gaining 0.61% and NZDUSD closing 0.27% higher. On the flipside the worst performers have been USDJPY closing -0.47% lower and EURUSD losing -0.25%. Looking at the other Minor FX Pairs and Crosses, the winners of the day have been GBPPLN surging 0.81% and ZARJPY closing 0.78% higher. The worst performers of the day have been EURZAR tanking -1.42% and CHFZAR closing -1.28% lower. Read more