The pair has formed Flag and Pole Pattern. A Flag and Pole is a continuous pattern. In the current case the move is on the downside, a small retracement on the opposite is seen, a breakout at any side would be an entry opportunity.

Usually the breakout should be on the downside. The height of the pole will be the expected target after the  breakout.

The Pair is trading below the 200 day Ema which indicates that the long term trend of the pair is negative. Currently the pair is trading above the 50 day EMA which indicates in the short term an upside move is expected.

Pair giving a breakout on the upside will lead the price to 200 day EMA. The RSI is trading in an upper parallel channel; a breakout in the RSI will be an extra confirmation. Currently the price is trading upside and the RSI is pointing on the downside which is a bit of divergence, if in the next trading day the pair trades higher and the RSI trades lower we would suggest to take a short position in the pair once selling is seen near the upper trendline.

NZD/CHF

Mar 03 2022