NZD/USD and Bitcoin (BTC/USD) sellers are stepping up their game!
Will their technical resistance levels hold?
Or will we see breakouts this week?
NZD/USD has been having a good run after bouncing from its .5550 October lows.
The uptrend is hitting a snag at the .6500 psychological level, however.Specifically, NZD/USD is forming a Double Top pattern around the area that had served as support and resistance in 2022.
The oscillator is also pointing to more selling as it signals a potential turn from the “overbought” zone.
The cherry on top of the sweet bearish setup is the Shooting Star-like candlestick that popped up at the top of the Double Top pattern.
Shorting at current levels would yield a good risk ratio especially if you aim for the “neckline” near the 200 SMA and the .6200 handle.
If you’d rather bet on further upside for NZD/USD, though, then you’ll want to do it after the pair makes new 2023 highs.
Where my crypto-trading friends at?
Bitcoin (BTC/USD) started shooting up from its $16,500 lows a few days ago and now the OG crypto is trading above the $20,000 psychological level.Before BTC bulls get too comfortable, though, you should note that BTC/USD is now consolidating at a previous inflection point that might serve as the top of a range on the daily time frame.
What’s more, Stochastic is signaling that BTC is “overbought” and some bears might act on the technical signal.
If you think that the previous days’ rallies aren’t sustainable, then you can start shorting BTC/USD at current levels while aiming for areas of interest like the mid-range levels or even December’s lows.
Not convinced that the bullish run is over?
You can also wait for an upside breakout and then fresh bullish momentum above the $22,000 mark before you aim for the moon.