AUDNZD – Renko Technical Analysis

From: http://renkotraders.com

AUDNZD – 50 Pip Chart

AUDNZD – 50 Pip Chart• Price is currently trading near an identified resistance zone between 1.1248 -

1.11980• There were two previous attempts to break above the resistance zone which failed,

resulting in a double top pattern• Price then fell through and also cut the rising trend line. Taken in conjunction with

the resistance zone, this also marks a retest of the break out of the trend line.• Price, near the second top formed a bearish divergence to the RSI, indicating

downside correction• We have identified the price zone of 1.0798 - 1.0748 as the most ideal level for test

of support (where the correction will likely end)• A break below 1.0748 will see a test to 1.0398 previous support and could put the

upside move at risk.

AUDNZD – 100 Pip Chart

AUDNZD – 100 Pip Chart• Price is trading near a major resistance zone of 1.1298 - 1.1198• There is a possibility that an inverted head and shoulders pattern could be taking

place• So far, we have the left shoulder and the head. The right shoulder hasn't even

started yet• We anticipate that based on the correction off the 50 Pip chart, the right shoulder

could be completed• This means, expect a potential rally from the support level of 1.0698 - 1.598 to test

the resistance at 1.1298 - 1.1198• The right shoulder will also mark a retest of the break out (and potentially a test of

the broken falling trend line as well)• A successful inverted Head and Shoulders will see price eventually rally to 1.2498 -

1.2398

AUDNZD – Renko Chart Conclusion• Expecting a correction based off the 50 Pip Renko chart towards support

at 1.0698 – 1.0598• The correction, is finds support at 1.0698 – 1.0598 will see a test to

previous resistance at 1.1298 – 1.1198• The correction (and formation of right inverted shoulder from 100 Pip

chart) will be at risk should price drop to 1.0398• A break of the resistance/neckline at 1.1298 – 1.1198 will result in a

measured move to 1.2498 – 1.2398